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WATCH: American Coffee Chain Giant Faces Trouble, Stock Goes Off A Cliff

What was once a staple of consumer economics and an unimpeachable feature of American corporate giants is now in steep decline.

Starbucks is reportedly facing immense economic pressure reflected in the decline of its stock price.

Some blame it on consumer boycotts currently plaguing the coffee store giant for its ties to the Israeli government, others blame it on Bidenomics and pointed to other consumer retailers facing trouble.

I say, why can’t it be both simultaneously? Consumer boycotts are known to work and Biden’s economy sucks—these things aren’t mutually exclusive.

The Kobeissi Letter noted the startling and sudden implosion of Starbucks’ stock price and asked:

“The collapse of Starbucks is insane: Starbucks’ CEO went on LIVE TV attempting to revive the stock.

He says, “It was a very tough quarter due to pressures on customers, China, and challenges of the business in the Middle East also impacting us in other geographies.” The worst part?

When he was asked why they did not preannounce such a horrible quarter he said, “We were working on action plans.”

As he was talking throughout the 10-minute interview, the stock went down another 5% in REAL TIME.

Starbucks stock, SBUX, closed the day 16% lower and has erased ~$35 BILLION in value since its all-time high. How did Starbucks collapse so quickly?” Here’s what everyone is saying:

Newsweek highlighted the pressure of consumer boycotts on Starbucks:

The stock dropped more than 10 percent in after-hours trading on Tuesday after Starbucks released its Q2 earnings report, which revealed weak sales and profits.

Starbucks chief financial officer Rachel Ruggeri described it as a “difficult quarter.”

It comes as the world’s largest coffee chain has faced boycotting calls on social media from pro-Palestinian supporters over its perceived support for Israel.

A snapshot of Starbucks’ stock shows an incredibly rapid decline from ~$90 per share to a low of $72.73.

Starbucks is currently trading around $74.81, a sharp decline from its previous high of $115.54 which formed in 2023.

Zero Hedge featured an in-depth analysis of Starbucks’ stock and put the damage into perspective:

Starbucks shares plummeted by 16% during the early cash session, approaching the -16.2% level last seen during the Covid crash.

If intraday losses surpass 16.2% and remain above this level at closing, it would mark the company’s worst single-day loss since the Dot Com crash in early 2000.


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