SBUX vs WDC: Which Is the Better Buy?
Side-by-side comparison of Starbucks Corporation and Western Digital Corporation — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-09-19.
Starbucks Corporation · Consumer Cyclical
$96.67
+12.3% upside to fair value
Med Conviction
Grade C
VS
Western Digital Corporation · Technology
$441.36
-16.8% upside to fair value
Med Conviction
Grade C
QuantHub Verdict
SBUX has more upside to fair value
(+12.3%).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
SBUX |
WDC |
| Current Price |
$96.67 |
$441.36 |
| Fair Value Estimate |
$108.52 |
$367.30 |
| Upside to Fair Value |
+12.3%
|
-16.8%
|
| Market Cap |
$110.2B |
$152.1B |
| Forward P/E |
—
|
—
|
| EV / EBITDA |
22.0x
|
17.4x
|
| Price / Sales |
2.9x
|
11.8x
|
| Price / FCF |
30.4x
|
47.3x
|
| Revenue Growth YoY |
-1.4%
|
+43.8%
|
| Gross Margin |
31.7%
|
48.9%
|
| Operating Margin |
9.4%
|
34.9%
|
| Return on Equity |
-24.3%
|
118.6%
|
| Dividend Yield |
2.57% |
0.12% |
| FCF Yield |
3.29%
|
2.12%
|
| Analyst Consensus |
Buy
|
Strong Buy
|
Investment Thesis
Starbucks is the world's largest specialty coffee retailer, operating company-owned and licensed coffeehouses across North America, International, and Channel Development segments, with a brand that has historically supported premium pricing and global scale. The business quality is currently strained: revenue declined 1.4% year over year in the most recent quarter, TTM operating margin is 9.4%, …
Western Digital designs and manufactures hard disk drives and flash-based storage for data centers, client devices, and consumer markets, and it is currently enjoying an extraordinary demand surge tied to AI infrastructure buildouts. In the most recent quarter, revenue grew 43.8% year over year and earnings grew 1143.2% year over year, while trailing twelve-month gross margin reached 48.9%, opera…
Accumulation Zones
| Metric |
SBUX |
WDC |
| Zone Low |
$81.39 |
$275.48 |
| Zone High |
$92.24 |
$312.20 |
| In Buy Zone? |
No
|
No
|