Will this be the drop heard 'round the world? Today, caffeine kiddies learned that Starbucks
To judge only by the response of my Foolish neighbor, Alyce Lomax -- who reported on the rumor earlier this month -- the answer is a curt "yes," delivered in a millisecond. In fact, she's now scampered off to the nearest Starbucks for the first of her daily venties. And I suspect most other coffee drinkers will have a similar response.
Say what you will about supporting "local" coffee places -- I lived in plenty of places where there was no such beast before Starbucks. This company brought drinkable coffee to the masses, and it continues to expand its customer base profitably. I strolled through an airport this weekend that will soon feature two outlets in a single branch of the terminal. That could mean six locations in one airport, each with a semi-captive audience.
The public appetite for Starbucks seems to be insatiable, and growth is not just coming via expansion. The end of last quarter (June) marked the 150th consecutive month of positive comps for the chain, and the eighth month of double-digit gains. Smaller competitor Diedrich Coffee
From an investor's point of view, the only fly in the cup is the price. Starbucks never looks exactly cheap. But, of course, fire sales are often rare for long-term outperformers: Think of Wal-Mart
Is tiny Peet's Coffee
Seth Jayson doesn't drink much Starbucks coffee because he's saving his pennies for the stock. At the time of publication, he had positions in no company mentioned. View his stock holdings and Fool profile here. The Fool is investors writing for investors.
More from The Motley Fool
Are Low-Fee Investments the Key to Long-Term Wealth? Not Necessarily
Investors are typically advised to focus on fee avoidance. But sticking to low-fee choices can open the door to other hidden costs.
Which Utility Is the Best Dividend Stock?
One utility stock stands above the rest due to its faster-growing income stream.
Facebook's Major News Feed Revamp Could Exacerbate Fake News
The social network might actually be making things worse.