Investor Day Set to “Reinvent Starbucks for the Future.”
Starbucks (NASDAQ:SBUX) presented its first investor day since naming Laxman Narasimhan as the company’s next chief executive officer.
And here are 8 things that went down during Tuesday’s meetings, as stated by Starbucks themselves.
- Reinvention plan positions Starbucks for the next chapter of growth
- Starbucks is focused on reinventing the partner experience
- The Starbucks brand is building on strength
- Going Global: The digital Starbucks experience is coming to all stores
- A purpose-built approach to meeting customer needs
- Harnessing global store growth opportunities
- New, innovative equipment will give baristas more time for customer connections
Lastly, and most importantly,
- Employees kept the cold brew flowing
The purpose of an investor day is to lay out next year’s growth prospects and for management and investors to interact with each other, establishing a level of trust. And Starbucks, seemingly, accomplished this. According to analzyingalpha.com, “The primary factor defining the relationship between a public company and its investors is “Trust.” This element of trust keeps the shareholders from pulling out their invested capital in the company; hence, a company must strive hard to build investor relations.”
Starbucks’ shares have declined almost 24% this year. This decline can be attributed to the company’s “battles with unions, lockdowns in China that hamper its most important non-US market, executive attribution, plans of large-scale store redesigns, and a more uncertain macroeconomic backdrop” (seekingapha.com).
Despite the decrease in the number of shares sold this year, Baird analyst David Tarantino said, “We expect the updates to inspire confidence in the company’s longer-term growth prospects, even while the multi-year plan for earnings growth could be somewhat back-weighted as SBUX leans in on investments in [fiscal year 2023] to bolster the foundation for accelerated growth in 2024 and beyond.” (seekingalpha.com)
Cheers to the future of Starbucks!
