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Pastimes : Starbucks SBUX
SBUX 88.87+0.8%3:59 PM EST

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To: Candle stick who wrote (114)10/4/1996 4:06:00 PM
From: Cary Chubin   of 148
 
Candlestick, While I generally agree with most of your assessment of SBUX, I disagree that the stores are "10 times what each one is worth separately." In the first place, the value the market is placing on SBUX includes joint ventures with Pepsi,(going very well in tests), Edy's (winning shelf easily) and UAL, (who advertised their conection to Starbuck's coffee on the networks). Secondly, SBUX has stated all along it is their intention to become "the" branded coffee in the USA. You must concede they are well on there way. Lastly, the most recent runup was likely in part due to their most recent partnering effort with US Office(?). Still, I agree this is a gigantic multiple to pay, even with all the cylinders spinnin'.

Cary Chubin
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