Starbucks US traffic worse than 2008 Financial Crisis: Analyst
Starbucks (SBUX) released its preliminary fourth quarter earnings on Tuesday, illustrating annual declines in revenue and same-store sales in the US and China. Starbucks is scheduled to share its official results on Wednesday, October 30, the first earnings release with Brian Niccol as CEO. BTIG managing director and restaurant analyst Peter Saleh weighs in on Starbucks' preliminary earnings results. "The traffic number that we saw out of Starbucks in the US was aside from the pandemic, worse, the worst number we've ever seen, even worse than the Financial Crisis," Saleh tells Yahoo Finance. "I don't know if this is a pricing problem. In my mind, I don't think it is. I think... this is a messaging problem, probably a throughput problem. I think they're working hard on the marketing. You're already seeing some of the marketing chain changing." Peter Saleh also weighed in on McDonald's (MCD) response seen so far to its E. coli outbreak reported in certain states. To watch more expert insights and analysis on the latest market action, check out more Morning Brief here. This post was written by Luke Carberry Mogan.
