Starbucks loses $11 billion in value due to boycotts

Analysts say that the loss incurred is likely due to slow sales, a subdued response to Starbucks’ festive offerings and global political tensions.

By  Storyboard18Dec 8, 2023 10:31 AM
Starbucks loses $11 billion in value due to boycotts
Recently, the corporation found itself in a tough spot because of a tweet from Starbucks Workers United that expressed solidarity with Palestinians. (Representative image by Kal Visuals via Unsplash)

Starbucks Corporation has reportedly lost $11 billion in value, resulting in a reduction of 9.4 percent in the company’s total value. Shares of the Seattle-based company plummeted 8.96 percent in a span of 19 calendar days since November 16. Analysts say that the loss incurred is likely due to slow sales, a subdued response to Starbucks’ festive offerings and global political tensions.

Boycotts at the company’s Seattle and Washington chains related to geopolitical issues have been a large reason for the slowdown. The boycotts are a part of large scale boycott of multiple global brands over support for Israel. Recently, the corporation found itself in a tough spot because of a tweet from Starbucks Workers United that expressed solidarity with Palestinians.

Starbucks stock is currently around $95.80 per share, much lower than its yearly high of $115. The value of the stocked decline for 12 consecutive market sessions. This has been the company’s longest-ever streak since it went public in 1992.


Tags
First Published on Dec 8, 2023 10:31 AM

More from Storyboard18

Brand Makers

GOAT Brand Labs raises $21 million to drive omnichannel expansion

GOAT Brand Labs raises $21 million to drive omnichannel expansion

Quantum Brief

EXCLUSIVE: Ampverse Shuts 7Sea Esports; Founder says 'can't see growth trajectory in India'

EXCLUSIVE: Ampverse Shuts 7Sea Esports; Founder says 'can't see growth trajectory in India'

How it Works

Look beyond vanity metric to make most of print ads: Rajiv Gopinath of Publicis Media Services

Look beyond vanity metric to make most of print ads: Rajiv Gopinath of Publicis Media Services

How it Works

TRAI puts NCF under forbearance; Watching dish and cable TV may become cheaper

TRAI puts NCF under forbearance; Watching dish and cable TV may become cheaper

Quantum Brief

Bajaj Auto along with Nitin Gadkari launch world's first CNG motorcycle

Bajaj Auto along with Nitin Gadkari launch world's first CNG motorcycle

Quantum Brief

Byju's to face audit unless salaries are paid, says NCLT

Byju's to face audit unless salaries are paid, says NCLT

Quantum Brief

OnePlus India appoints Chinese exec as head of India operations amid govt's push for local talent

OnePlus India appoints Chinese exec as head of India operations amid govt's push for local talent

How it Works

BREAKING: MIB advisory on SDC; Only Food & Health sectors to upload self-declaration certificate for ads

BREAKING: MIB advisory on SDC; Only Food & Health sectors to upload self-declaration certificate for ads