Traders Pour Into Starbucks as Coffee Prices at One-Year Low
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Shares of Starbucks Corp. are outpacing the broader market amid a decline in global coffee prices spurred by the rain in Brazil.
Starbucks, the world’s largest coffee chain, has outperformed the Standard & Poor’s 500 Index by 17 percentage points since Oct. 14, while arabica coffee for May delivery has fallen 37 percent during the same period. The company’s shares gained less than 1 percent to close Wednesday at an all-time high of $94.26, while coffee futures slid 3.7 percent to close at $1.4345 a pound after touching a one-year low.