COMPANY NAME : STAR BUCKSwritten paper requires you to prepare a well-written titled "Would You Advise a Friend to Invest in This Company?" based upon your research and analysis of this company's fi
Starbucks financial information in 2016 and 2017
| PARAMETER RATIO | YEAR 2016 | YEAR 2017 |
| Debt Ratio | 58.88% | 62.06% |
| Gross Profit Margin | 60% | 60% |
| Free cash flow | $3,134,800.00 | $2,654,900.00 |
| Times Interest Earned | 52.64 | 47.67 |
| Accounts Receivable Turnover | 27.70% | 25.70% |
| Inventory Turnover | 6.17% | 6.60% |
Image in ratio trend starbucks
Financial information on competitor (MC Donald’s ) vs. Starbucks in 2016 and 2017
Table on Comparison of McDonald and Starbucks Statistics
| Parameter | McDonald's 2016 | McDonald's 2017 | Starbucks 2016 | Starbucks 2017 |
| Current ratio | 1.39% | 1.84% | 1.04% | 1.25% |
| Debt ratio | 1.07% | 1.09% | 58.88% | 62.06% |
| Gross profit margin | 41.44% | 46.54% | 60% | 60% |
| Times interest earned | NA | NA | 52.64 | 47.67 |
| Accounts receivable turnover | 16.70% | 11.54% | 27.70% | 25.70% |
| Inventory turnover | 244.77 | 207.47 | 6.17% | 6.62% |
| Return on Sales | 37.56% | 27.88% | 19.69% | 20.07% |
| Asset Turnover | 67.50% | 79.36% | 1.55 | 1.48 |
| Return on Assets | 15.36% | 15.10% | 20.08 | 19.68% |
| Financial Leverage | -10.34% | -14.07% | 2.63 | 2.43 |
| Return on Equity | -158.88% | -212.61% | 52.93% | 47.89% |
Analysis
