Rachel Warren

So, they'll reduce their direct stake.

They're going to turn to a licensing model while maintaining brand control.

It's a more asset-light approach.

It's one that they have turned to in a lot of their newer international markets in Europe, in the Middle East, in Africa.

They're viewing fiscal 2026 as a transition year.

And I think that's something that's important to note.

This next year, they're looking to open between 600 to 650 net new company-owned and licensed cafes.

And this is also as they're shuttering about 400 U.S.

locations coming out of 2025.

So it's a time of big shifts and changes for the business.

Not really anything to write home about, but we are starting to see some early signs of improvement that investors should pay close attention to.

Yeah, I agree with Lou on that.

I don't think the price is nearly as compelling as it was.

And Starbucks is kind of in a difficult position right now, because if they don't invest in their growth story and the way that they are doing so aggressively, they are going to continue to fall behind the competition.

And that's been one of the key issues they have faced in recent years.

And that's evidenced by the fact that you'll

profits are down high double-digit percentage year over year.

They're really putting profits on the back burner to focus on that growth story right now.

I think in the short term, that's the right call.

I think if you're an investor looking at this stock, you have to believe that they are going to be able to really successfully execute this turnaround and do so in a meaningfully profitable way.