Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.

Recs

4

The Biggest Reason Starbucks Is Fighting McDonald's

Watch stocks you care about

The single, easiest way to keep track of all the stocks that matter...

Your own personalized stock watchlist!

It's a 100% FREE Motley Fool service...

Click Here Now

Just when there seems to be a Starbucks (NASDAQ: SBUX  ) on every corner, the Seattle-based company has decided to launch 15 Seattle's Best drive-thrus across the U.S., starting in Dallas.

But why now? Expectations for Starbucks are high. In addition, the company currently trades for a P/E of 31, and the China opportunity may not be enough to satiate investors.

Get the scoop on why Starbucks launched these drive-thrus and catapulted itself into competition with McDonald's  (NYSE: MCD  ) and Panera Bread  (NASDAQ: PNRA  ) . 

After making investors rich in 2011 with an improving Dollar Menu and McCafe expansion, McDonald's has been one of the worst-performing blue-chip stocks of 2012. Our top analyst on the company will tell you whether you should be worried by this trend and shed light on whether McDonald's is a buy at today's prices. Click here now to read our premium research report on the company.


Read/Post Comments (2) | Recommend This Article (4)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On March 29, 2013, at 10:44 PM, Stephano617 wrote:

    If Starbucks is going head to head with Mickey D's, they'll need to "beef" up their food menu to offer more than they have! A few breakfast sandwiches & some dessert items aren't enough to compete with #1 ! And they will have to lower their coffee prices! I drink starbucks, but, they aren't a lunch or dinner drive-thru!

  • Report this Comment On April 01, 2013, at 12:39 AM, Lilblkcows wrote:

    I get a decent breakfast/lunch snack at Starbucks. I would have to be starving to eat at McDonalds. I don't think you can compare customers. The Starbucks group are younger and more concerned about their health.

Add your comment.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2338123, ~/Articles/ArticleHandler.aspx, 8/30/2015 4:22:20 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Kevin Chen
TMFKang

Kevin Chen covers the tech sector in China. With degrees in history and economics, he scours government sources, magazines, blogs, and earnings reports before making any investment decision. You can follow him at @TMFKang or on Google+.

Today's Market

updated 1 day ago Sponsored by:
DOW 16,643.01 -11.76 -0.07%
S&P 500 1,988.87 1.21 0.06%
NASD 4,828.33 15.62 0.32%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

8/28/2015 4:00 PM
SBUX $55.63 Down -0.32 -0.57%
Starbucks CAPS Rating: ****
MCD $96.25 Down -0.23 -0.24%
McDonald's CAPS Rating: ***
PNRA $180.56 Up +0.06 +0.03%
Panera Bread CAPS Rating: ****