Considering how well Chipotle has been doing, I mistakenly assumed any completely mediocre provider of edible products would thrive, but it looks like Starbucks has finally stumbled hard.
It has a long, long way to go to reach support. Its P/E, incidentally, even after this drop, is at a eye-rolling 48. That is the kind of P/E that, in normal times, would be reserved for a biotech company on the cusp of curing cancer. A company that combines hot water with ground coffee beans should have a P/E of something like 8.
