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StarbucksSBUX -2.66%81 Cash Ratio is 0.15 as of Mar. 2026, which is 66% below its 10-year median of 0.44. GuruFocus rates SBUX with a GF Score™ of 81/100 and a GF Value™ of $98.46 (Fairly Valued). The stock has 8 warning signs investors should review. Among 358 Restaurants companies, Starbucks ranks worse than 77.09% on this metric.
Starbucks has a Cash Ratio of 0.15. It indicates that there are more current liabilities than Cash, Cash Equivalents, Marketable Securities, and the company does not have sufficient cash on hand to pay off its short-term debt.
The historical rank and industry rank for Starbucks's Cash Ratio or its related term are showing as below:
SBUX'
s Cash Ratio Range Over the Past 10 Years
Min: 0.15 Med: 0.44 Max: 1.57
Current: 0.15
During the past 13 years, Starbucks's highest Cash Ratio was 1.57. The lowest was 0.15. And the median was 0.44.
SBUX's Cash Ratio is ranked worse than 77.09% of 358
companies
in the Restaurants industry
Industry Median: 0.53
vs SBUX: 0.15
Starbucks (NAS:SBUX) Cash Ratio Explanation
The cash ratio is more conservative than other liquidity ratios, such as Quick Ratio and Current Ratio, because it only considers a company's most liquid resources. The numerator of cash ratio only considers Cash, Cash Equivalents and marketable securities. Other current assets, such as accounts receivable and inventories, are not included. The rationale is that these assets may require time to be transformed into cash, and the amount of money received is also uncertain.
The cash ratio shows a company’s ability to pay all current liabilities immediately without selling or liquidating other assets. Generally speaking, a higher cash ratio suggests the company has a stronger ability to cover its short-term debt. However, a high cash ratio could also indicate inefficient management: the company is inefficient in making full utilization of cash to invest protential profitable project. It may also suggest that the company is not confident about future profitability.
In general, the higher the cash ratio, the better the company's liquidity position.
Starbucks Cash Ratio Related Terms
Starbucks Cash Ratio Historical Data
* Premium members only.
The historical data trend for Starbucks's Cash Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Restaurants subindustry, Starbucks's Cash Ratio, along with its competitors' market caps and Cash Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Starbucks Cash Ratio vs Restaurants Industry
For the Restaurants industry and Consumer Cyclical sector, Starbucks's Cash Ratio distribution charts can be found below:
* The bar in red indicates where Starbucks's Cash Ratio falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Starbucks (SBUX) has a Cash Ratio of 0.15 as of Mar. 2026. Cashflow ratio is the ratio of Cash, Cash Equivalents, Marketable Securities to current liabilities. View historical data on Starbucks and its competitors. This is 66% below median its historical median of 0.44. Over the past decade, Starbucks' Cash Ratio has ranged from 0.15 to 1.57. According to the industry distribution chart, Starbucks ranks #276 out of 358 companies in the Restaurants industry, placing it in the top 77.1%.
Is Starbucks' Cash Ratio too high?
Starbucks' current Cash Ratio of 0.15 is 66% below median its 10-year median of 0.44. Over the past 10 years, this metric has ranged from a low of 0.15 to a high of 1.57. The Restaurants industry median Cash Ratio is 0.53. Starbucks' value of 0.15 is 71.7% below this industry median. Based on the distribution chart, Starbucks ranks #276 out of 358 companies in the Restaurants industry, which is in the bottom quartile relative to peers. Overall, Starbucks has a GF Score™ of 81/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Starbucks' Cash Ratio compare to MCD and YUM?
According to the Restaurants industry distribution chart, Starbucks ranks #276 out of 358 companies for Cash Ratio. This places Starbucks in the lower half of its industry. The industry median Cash Ratio is 0.53. Starbucks' value of 0.15 is 71.7% below this benchmark. Historically, Starbucks' own Cash Ratio has ranged from 0.15 to 1.57 over the past decade. While the company's 10-year median is 0.44 vs. the industry median of 0.53, Starbucks has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cash Ratio for a Restaurants company?
The median Cash Ratio among Restaurants companies is 0.53, based on 358 companies in the industry. Companies in the top quartile (top 25%) have a Cash Ratio significantly above this median, while those in the bottom quartile fall well below. However, Cash Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Starbucks's current Cash Ratio of 0.15 is 71.7% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cash Ratio mean?
A high Cash Ratio can signal that a stock is expensive relative to its fundamentals. Cashflow ratio is the ratio of Cash, Cash Equivalents, Marketable Securities to current liabilities. View historical data on Starbucks and its competitors. For the Restaurants industry, the median Cash Ratio is 0.53 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Starbucks's current Cash Ratio is 0.15, which is 66% below median its own 10-year median of 0.44. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Starbucks stock overvalued right now?
Based on GuruFocus' analysis, Starbucks (SBUX) is currently considered Fairly Valued. The stock's GF Value™ is $98.46, compared to a current price of $105.49 — trading 7.1% above its estimated fair value. The current Cash Ratio is 0.15, which is 66% below median its 10-year median of 0.44 and 71.7% below the Restaurants industry median of 0.53. Starbucks' overall GF Score™ is 81/100 with 8 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cash Ratio calculated?
Cash Ratio is calculated from a company's financial statements. For Starbucks (SBUX), the current Cash Ratio is 0.15 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Starbucks (SBUX) Overvalued in 2026?
Based on GuruFocus' analysis, Starbucks stock appears to be overvalued.
The current stock price of $105.49 is trading 7.1% above its estimated GF Value™ of $98.46.
GuruFocus considers Starbucks to be Fairly Valued.
Key valuation signals for SBUX:
Cash Ratio: 0.15 (66% below median its 10-year median of 0.44)
GF Value™: $98.46 vs. price of $105.49 (7.1% above fair value)
Industry Position: 71.7% below the Restaurants median (#276 of 358)
No single metric tells the full story. See the SBUX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Starbucks stands out as the world's biggest and most recognizable coffee brand, powered by ultracustomizable beverages in-store and a sweeping footprint of nearly 41,000 cafes in over 80 countries. About 52% are company-operated, with the balance run by licensees. The company operates roasteries and sells across its North America (74% of revenue as of the end of fiscal 2025), international (21%), and channel development (5%) segments. The brand collects revenue from company-operated stores, licensee royalties, equipment and product sales, retail ready-to-drink beverages, and packaged coffee.
81GF Score
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