Today, CNBC reported that Starbucks (NASDAQ:SBUX) will start selling a new breakfast sandwich. The sandwich will be made with plant-based sausage from Impossible Foods. The new sandwich will also include a cage-free fried egg, aged cheddar cheese, and ciabatta bread. The menu item will be available in most US restaurants starting today. Starbucks’s new menu item is part of the company’s push towards a sustainable menu. The company already introduced environmentally friendly plant-based milk alternatives. In January, Starbucks announced certain goals to achieve by 2030, which include reducing its carbon emissions by 50%, conserving half of the water used for coffee production, and reducing its wastage by 50%.
On the launch of the new breakfast sandwich, Michael Kobori, the chief sustainability officer at Starbucks, said, “Over the years, in response to customer interest, we have added plant-based milk alternatives such as soy, coconut, almond, and oat milk. We are thrilled to expand our plant-based menu into food with this new breakfast sandwich.”
Starbucks’s other menu items this summer
Today, Starbucks announced a Cold Brew with cinnamon almond milk foam and a Cold Brew with dark cocoa almond milk foam on its summer menu. Earlier this year, the company introduced oat milk in the Midwest. Today, Starbucks announced that it will expand the roll-out of oat milk to restaurants in California. Now, customers can enjoy their Cold Brew with cinnamon oat milk foam.
Today, Starbucks was trading around 1% higher in the earlier morning trade. The strong broader equity market and the launch of the plant-based breakfast sandwich might have boasted Starbucks’s stock price. The assurance from White House that the US-China trade talks are still alive led the S&P 500 Index to trade 0.8% higher during the same period. Meanwhile, Beyond Meat was trading marginally in the red.
So far this year, Starbucks has lost 14.2% of its stock value as of June 22. Restaurant closures across the world amid COVID-19 and management’s weak outlook for fiscal 2020 led to a fall in the company’s stock price. This year, the company has underperformed the broader equity market. The S&P 500 has fallen by just 3.5% YTD. Meanwhile, McDonald’s (NYSE:MCD) and Dunkin’ Brands (NASDAQ:DNKN) have fallen by 5.1% and 15%, respectively. To learn more, read Why Atlantic Equities Is Optimistic about Starbucks.