Starbucks has lost approximately 11 billion dollars in value, erasing 9.4 per cent of the company's total value. Since November 16, simultaneously with the Red Cup Day promotion, the shares of Starbucks have plummeted by 8.96%.
The beginning of this course of events originates from an unexpected tweet from Starbucks Workers United, representing a section of its baristas, conveying solidarity with Palestinians. This turned into a chain reaction, leading to widespread boycotts that have affected the company's financial status.
Starbucks stocks declined for 12 consecutive stock market sessions and the stock now hovers at around USD95.80 per share, down from its yearly high of USD115.
"Amid an ongoing boycott due to the Israeli occupation's aggression against the Gaza strip, the undercurrent of discontent signals a challenging brew for the company's future," said an industry analyst.
