SBUX FCF Yield Analysis
Updated 417h ago·SEC filings & market data
Key Takeaway
Free cash flow yield measures the cash a company generates after capital spending relative to its market value, so SBUX's 2.0% means it produces $2 of free cash flow for every $100 of equity value.
Sector Performance
25th percentileSBUX
2.0%
Sector Median
4.2%
Sector Avg
9.2%
Prior Period
2.1%(Jul 2026)
Deep Analysis
Free cash flow yield measures the cash a company generates after capital spending relative to its market value, so SBUX's 2.0% means it produces $2 of free cash flow for every $100 of equity value.
That is well below the sector median of 4.1%, placing the stock at the 24th percentile among peers—meaning about three-quarters of comparable companies offer a higher cash return. Trend data are largely unavailable: the year-over-year change is N/A, while the quarter-over-quarter change is -4.8%, and the two most recent readings are 2.0% and 2.1% (the earlier being slightly higher). The combination of a below-median yield and a recent quarterly decline points to limited cash generation relative to valuation, adding risk for income-focused or value-oriented investors. This metric directly supports the overall CAUTIOUS verdict because a low and slightly falling free cash flow yield reduces the margin of safety in the stock's price.
Frequently Asked Questions
What does the FCF Yield tell investors about SBUX?
One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.
How is the FCF Yield calculated?
FCF Yield is calculated as: Free Cash Flow / Market Cap.
Who are SBUX's closest peers by FCF Yield?
The closest peers by FCF Yield include: JACK (23.5%), BBWI (23.7%), YELP (25.7%), MET (27.9%), WIX (29.2%).
Learn More About FCF Yield
Understanding Free Cash Flow
Free cash flow is the lifeblood of any business. In this post, we explore why it matters more than net income for long-term investors.
Free Cash Flow Yield: Why It Matters More Than Earnings Per Share
EPS is accounting. FCF is reality. Here's how to calculate free cash flow yield, why Warren Buffett prioritizes it, and how to use it to spot genuinely profitable companies.
The Formula
Free Cash Flow / Market Cap
Why It Matters
One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.
Master SBUX's Valuation
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2.0%
Sector Median
4.2%
Sector Avg
9.2%
How SBUX's FCF Yield compares to sector peers.
Also Analyze
Not financial advice. Research tool only. Data may be delayed.