Jake Howe

I'll break down what went wrong and get your reaction to all this. I know you have some strong feelings on it. Freiburg as well. Earlier this week, Starbucks shares were down 20% year to date compared to the S&P, up 12%. Companies are two straight quarters of declining revenue, the definition of a recession, in fact.

I'll break down what went wrong and get your reaction to all this. I know you have some strong feelings on it. Freiburg as well. Earlier this week, Starbucks shares were down 20% year to date compared to the S&P, up 12%. Companies are two straight quarters of declining revenue, the definition of a recession, in fact.

They've had to raise prices massively due to inflation that has annoyed customers. And customers have been irate about the weight which has been caused by two things. One, they have a broken staffing algorithm. That's led to massive understaffing. And then the app has become, the Starbees app is incredibly complex and you can order ridiculous drinks.

They've had to raise prices massively due to inflation that has annoyed customers. And customers have been irate about the weight which has been caused by two things. One, they have a broken staffing algorithm. That's led to massive understaffing. And then the app has become, the Starbees app is incredibly complex and you can order ridiculous drinks.

Kids are addicted to this. That's what kids call it? Kids are addicted to it. Yeah. And they've added like all these like fruity drinks and stuff that would be like along the Boba lines that have made, have become incredibly popular with millennials and Gen Z.

Kids are addicted to this. That's what kids call it? Kids are addicted to it. Yeah. And they've added like all these like fruity drinks and stuff that would be like along the Boba lines that have made, have become incredibly popular with millennials and Gen Z.

So anyway, Laxman was the handpicked successor by Howard Schultz, and Schultz helped prep and train Laxman, but he's been super critical of him recently, kind of like the Bob Iger, Bob Chapek relationship we saw play out in 2022 over at Disney. Brian Nicol, the current CEO of Chipotle, is going to take over at the end of August. Investors love this move. Shares jumped 25% on Tuesday.

So anyway, Laxman was the handpicked successor by Howard Schultz, and Schultz helped prep and train Laxman, but he's been super critical of him recently, kind of like the Bob Iger, Bob Chapek relationship we saw play out in 2022 over at Disney. Brian Nicol, the current CEO of Chipotle, is going to take over at the end of August. Investors love this move. Shares jumped 25% on Tuesday.

Brian Nicol, the current CEO of Chipotle. Chipotle?

Brian Nicol, the current CEO of Chipotle. Chipotle?

Anyway, Starbucks jumped 25% on Tuesday, largest day increase, yada, yada. Meanwhile, Chipotle dropped 8%. Nicole is on a heater. When he switches teams, the odds go with him. And Starbucks has a bunch of activist investors who are winning massively as part of putting pressure on this freeberg. Starbucks and Nike, both iconic global brands, both have faltered. What's your take?

Anyway, Starbucks jumped 25% on Tuesday, largest day increase, yada, yada. Meanwhile, Chipotle dropped 8%. Nicole is on a heater. When he switches teams, the odds go with him. And Starbucks has a bunch of activist investors who are winning massively as part of putting pressure on this freeberg. Starbucks and Nike, both iconic global brands, both have faltered. What's your take?

Sachs or Chamath, anybody have strong feelings here?

Sachs or Chamath, anybody have strong feelings here?

They've done it, but it didn't have uptake. They've already got that, yeah. When you open the app, they have every single syrup comes in sugar-free and regular. So when I go there, now that I'm on GLPs and I've lost all this weight and I drink less, I just get the Nitro cold brew. It's got zero calories or five calories. I might throw a little cold foam on it.

They've done it, but it didn't have uptake. They've already got that, yeah. When you open the app, they have every single syrup comes in sugar-free and regular. So when I go there, now that I'm on GLPs and I've lost all this weight and I drink less, I just get the Nitro cold brew. It's got zero calories or five calories. I might throw a little cold foam on it.

And then my kids, I do... That's not what the kids want. No, I know. And with the kids, it's critical. What I do with my kids is I do low sweet or like one third sweet. I order one giant one. I pour it into three glasses at home with ice and I cut it with water because it is like drinking... an unbelievable amount of sugar. It is nuts. It's like a milkshake, basically.

And then my kids, I do... That's not what the kids want. No, I know. And with the kids, it's critical. What I do with my kids is I do low sweet or like one third sweet. I order one giant one. I pour it into three glasses at home with ice and I cut it with water because it is like drinking... an unbelievable amount of sugar. It is nuts. It's like a milkshake, basically.

That's the thing about coffee. Coffee's supposed to have zero calories, and you put a little half and half in it, and you get the fat, and you're good.

That's the thing about coffee. Coffee's supposed to have zero calories, and you put a little half and half in it, and you get the fat, and you're good.