Call me crazy but right now would be a perfect time for $AMZN to bid for $SBUX, should it have been something they had ever considered it. 1/n
$SBUX right now reminds me a lot of $WFM when $AMZN bid for it - growth story stalled - constantly traded at PE of 25-30 and now trades with PE under 20. Both companies had just started massive buybacks. 2/n
$SBUX would be further diversification into brick and mortar retail in a segment that's totally different than $WFM. It's another "best in class" type retailer with TONS of brand equity and still a long runway for growth - similar to what $WFM had & what likely made it appealing.
Though $AMZN helped $WFM by synergies to lower prices and bring customers back - with $SBUX they could find similar synergies. SBUX is already Amazon's fifth best selling brand. forbes.com/sites/ronaldho…
Coffee in general is already $AMZN's best selling item. They could rip higher margins by combining with $SBUX. forbes.com/sites/ronaldho… 4/n
A $83B EV isn't impossible if its a deal with cash and stock for AMZN. Starbucks just *feels* like an Amazon brand. Similar to the way WFM did. And the WFM acquisition already added a new layer of food product distro that AMZN could use with SBUX. 5/n
As usual, this is just brain droppings and is not investment advice. Do your research elsewhere, fools. If SBUX drops under 50 I am loading a lot more. A lot. And I'm already long. End of message. 6/n
