Starbucks Corporation (NASDAQ:SBUX) is looking to continue to grow on the success it’s had in recent years. It added over 500 stores in the Asia/Pacific region in the last year, while boosting same-store sales in the region by 8%. The company’s loyalty program is particularly popular in China. More than 2 million coffee drinkers carry a Starbucks Rewards card – the highest average per store anywhere.
There’s plenty of room for the company to expand in China. Its 1500 store goal by 2015 is just the tip of the iceberg. The company operates over 13,000 cafes in the United States, and operations in China could reach that level in another decade.
As coffee becomes a more popular beverage choice in the region, Starbucks business in China ought to fuel the company’s growth going forward.
With new initiatives abroad and increased strength in the grocery segment, Starbucks Corporation (NASDAQ:SBUX) is poised to continue the growth it’s seen in 2013. The Asia Pacific region will be key to its growth with China leading the way. The company is also starting to make progress in India and, most recently, Myanmar.
Meanwhile, the deal with Green Mountain Coffee Roasters Inc. (NASDAQ:GMCR) will keep its coffee popular among the growing K-cup crowd, and add to the new grocery products the company is introducing this year. All said, the analysts’ average 1-year price target of $67.85 appears easily attainable, and expect Starbucks to surpass that mark this time next year.
The article What’s Brewing at Starbucks originally appeared on Fool.com and is written by Adam Levy.
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