Starbucks Corporation (SBUX)vsAT&T Inc (TBB)
SBUX
Starbucks Corporation
$92.70
+0.78%
CONSUMER CYCLICAL · Cap: $104.79B
TBB
AT&T Inc
$21.58
-0.05%
· Cap: $132.50B
Smart Verdict
WallStSmart Research — data-driven comparison
SBUX leads profitability with a 3.6% profit margin vs 0.0%. TBB trades at a lower P/E of 4.2x. SBUX earns a higher WallStSmart Score of 39/100 (F).
SBUX
Hold39
out of 100
Grade: F
TBB
Avoid25
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-1135.9%
Fair Value
$8.02
Current Price
$92.70
$84.68 premium
Intrinsic value data unavailable for TBB.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Generating 1.3B in free cash flow
Attractively priced relative to earnings
Large-cap with strong market position
Generating 4.5B in free cash flow
Areas to Watch
Expensive relative to growth rate
ROE of 0.0% — below average capital efficiency
3.6% margin — thin
Weak financial health signals
0.0% revenue growth
0.0% earnings growth
0.0% margin — thin
Operating margin of 0.0%
Comparative Analysis Report
WallStSmart ResearchBull Case : SBUX
The strongest argument for SBUX centers on Market Cap, Free Cash Flow.
Bull Case : TBB
The strongest argument for TBB centers on P/E Ratio, Market Cap, Free Cash Flow.
Bear Case : SBUX
The primary concerns for SBUX are PEG Ratio, Return on Equity, Profit Margin. A P/E of 78.0x leaves little room for execution misses. Thin 3.6% margins leave little buffer for downturns.
Bear Case : TBB
The primary concerns for TBB are Revenue Growth, EPS Growth, Profit Margin. Debt-to-equity of 1.57 is elevated, increasing financial risk.
Key Dynamics to Monitor
SBUX is growing revenue faster at 5.5% — sustainability is the question.
TBB generates stronger free cash flow (4.5B), providing more financial flexibility.
Monitor RESTAURANTS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
SBUX scores higher overall (39/100 vs 25/100). Both earn "Hold" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Starbucks Corporation
CONSUMER CYCLICAL · RESTAURANTS · USA
Starbucks Corporation is an American multinational chain of coffeehouses and roastery reserves headquartered in Seattle, Washington. As the world's largest coffeehouse chain, Starbucks is seen to be the main representation of the United States' second wave of coffee culture.
AT&T Inc
· · USA
AT&T Inc. provides digital entertainment communications and services. The company is headquartered in Dallas, Texas.
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