Skip to content

Starbucks stock up 13% in a week despite anti-Israel boycott

Starbucks stock up 13% in a week despite anti-Israel boycott

In recent weeks, Starbucks (NASDAQ: SBUX) has found itself at the center of growing boycotts and protests. The controversy emerged after Starbucks filed a lawsuit against the Workers United union due to a now-deleted social media post expressing support for Palestine in the aftermath of Israel’s recent Gaza bombings. 

Videos of protests from countries like Turkey, Qatar, Malta, and even students at a Los Angeles university have circulated on social media. According to one Starbucks employee, “a solid third” of the usual amount of customers that come to the store she works in does not show up anymore.

While the backlash is a concern for the coffeehouse chain, its stock price is yet to be affected by the ongoing protests. In fact, the stock surged almost 13% over the past week to $103.68.

SBUX 1-week price chart. Source: Finbold

Why is Starbucks stock up?

The potential repercussions of the ongoing backlash against Starbucks on its share price have been offset by the company’s latest earnings report, which beat Wall Street’s estimates on top and bottom lines.

In particular, the company posted earnings per share (EPS) of $1.06 for the fiscal Q4 2023, topping the consensus estimates of 97 cents per share. Revenue came in at $9.37 billion, also above the estimated $9.29 billion.

Net income for the three-month period that ended on October 1 stood at $1.22 billion, up from $878.3 million in the same quarter last year. 

The strong earnings and revenue numbers come as demand for Starbucks’s drinks remained robust despite higher prices. The company’s same-store sales grew 8% year-over-year, driven by higher average checks and a 3% jump in customer traffic. 

More join Starbucks, anti-Israel protests

Although its stock market performance remains intact for the time being, the number of protests against the coffee giant is on the rise. 

On November 4, a video shared on X by PRO_NYC showed a large group of demonstrators chanting “Boycott Starbucks!” outside one of its stores on 42nd Street in New York City.

It appears that the group was heading for a broader protest against Israel’s recent bombings, demanding a ceasefire in Palestine after the death toll exceeded 10,000 people. A day later, on November 5, tens of thousands of people gathered in Washington D.C., also calling for a ceasefire as the US capital continues to resist calls to stop the bombings. 

Buy stocks now with Interactive Brokers – the most advanced investment platform


Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.

Best Crypto Exchange for Intermediate Traders and Investors

  • Invest in 70+ cryptocurrencies and 3,000+ other assets including stocks and precious metals.

  • 0% commission on stocks - buy in bulk or just a fraction from as little as $10. Other fees apply. For more information, visit etoro.com/trading/fees.

  • Copy top-performing traders in real time, automatically.

  • eToro USA is registered with FINRA for securities trading.

30+ million Users
eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk. eToro USA LLC does not offer CFDs, only real Crypto assets available. Don’t invest unless you’re prepared to lose all the money you invest.

Read Next:

Weekly Finance Digest

By subscribing you agree with Finbold T&C’s & Privacy Policy

Related posts

Disclaimer: The information on this website is for general informational and educational purposes only and does not constitute financial, legal, tax, or investment advice. This site does not make any financial promotions, and all content is strictly informational. By using this site, you agree to our full disclaimer and terms of use. For more information, please read our complete Global Disclaimer.