BAC vs SBUX: Which Is the Better Buy?
Side-by-side comparison of Bank of America Corporation and Starbucks Corporation — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-04-11.
Bank of America Corporation · Financial Services
$52.54
+7.3% upside to fair value
Grade B+
VS
Starbucks Corporation · Consumer Cyclical
$96.60
+19.0% upside to fair value
Med Conviction
Grade B+
QuantHub Verdict
SBUX has more upside to fair value
(+19.0%).
BAC trades at a lower forward P/E
(12.1x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
BAC |
SBUX |
| Current Price |
$52.54 |
$96.60 |
| Fair Value Estimate |
$56.39 |
$115.00 |
| Upside to Fair Value |
+7.3%
|
+19.0%
|
| Market Cap |
$377.1B |
$110.1B |
| Forward P/E |
12.1x
|
42.2x
|
| EV / EBITDA |
12.8x
|
22.5x
|
| Price / Sales |
2.0x
|
3.0x
|
| Price / FCF |
29.9x
|
45.1x
|
| Revenue Growth YoY |
-0.5%
|
+2.8%
|
| Gross Margin |
56.1%
|
24.2%
|
| Operating Margin |
19.7%
|
9.6%
|
| Return on Equity |
10.1%
|
-22.9%
|
| Dividend Yield |
2.09% |
2.55% |
| FCF Yield |
3.35%
|
2.2%
|
| Analyst Consensus |
Buy
|
Hold
|
Investment Thesis
Bank of America is a top-two U.S. bank by assets with $3.4 trillion on its balance sheet, generating $30.5 billion in net income in 2025 on the back of 12.5% earnings growth. The bank benefits from scale in consumer deposits, a recovering investment banking franchise, and an expanding digital platform serving 47 million active users. At 12.7x trailing earnings and 1.97x sales, BAC trades at a fai…
Starbucks is the world's largest specialty coffee retailer with over 39,000 stores across 86 markets, generating $37.2B in annual revenue. Under CEO Brian Niccol, now 19 months into his tenure after joining from Chipotle in September 2024, the company is executing the Back to Starbucks operational turnaround focused on service speed, menu simplification, and store experience reinvention. At P/S 2…
Accumulation Zones
| Metric |
BAC |
SBUX |
| Zone Low |
$42.29 |
$88.00 |
| Zone High |
$47.93 |
$98.00 |
| In Buy Zone? |
No
|
Yes
|