Starbucks continues to impress with +9% same-store-sales growth in North America, revealing that spending from its higher-income guests is very strong despite ongoing economic stress.
The ongoing decline in its user base is troublesome for the brand because it raises the question of whether the drop is due to economic weakness or whether it reflects a change in consumer behavior.
Maybe we are old-fashioned, but we would like to see consumer spending grow (and not because inflation is driving prices higher) while consumer debt decreases.
Carmax management reported that consumer confidence is currently even lower than at the height of covid.
Cracker Barrel delivered a stressed 4.4% operating income margin as expected, reflecting inflationary cost pressures and uncertain consumers.
As a bellwether for the domestic & global economy, FedEx provides key insights into shipping volumes.