Of all the things that could happen to coffee giant Starbucks (SBUX) in its labor efforts, celebrities getting involved was probably pretty far down on the list. But that was what happened, as reports note that Alec Baldwin took a hand in the Starbucks strike, coming in on the side of Starbucks strikers. That was bad news for investors, who sent shares down over 2% in Monday afternoon’s trading.
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Baldwin was not always on the side of baristas. After all, he once declared a Starbucks employee an “…uptight queen barrista (sic) with an attitude problem.” But apparently, the wind shifted, because now Baldwin is a “contributing producer” for the movie Baristas vs Billionaires, and even appeared at a fundraiser and screening of the film at the Elinor Bunin Monroe Film Center at the Lincoln Center.
The film follows Starbucks Workers United, and covers what was described as a “…generational uprising of working-class Millennials and Gen Z as they battle Starbucks Coffee for their right to unionize.” Baldwin, meanwhile, did voiceovers for sample reels. He also offered feedback on early cuts of the film. Considering that some Starbucks employees referred to Baldwin as “…very rude and disrespectful and arrogant,” the connection may have limited value.
Union Busting in Colorado
Yet the notion of “baristas versus billionaires” does have some merit to it. The case of Michaela Sellaro does contribute to such a mythos. A report from the Denver Post described how Sellaro revealed plans to organize a union in Denver, and then, shortly after, found herself called on the carpet by both store and district managers alike.
A recording from the meeting spelled it out, as store manager Ariel Rodriguez described, “The dynamic of having those conversations will change with a union. I have no personal desire to be part of a store that has to work through a union to have those conversations with you. I have zero interest in that.” Given that the report noted that the store closed permanently some time after the meeting in question, it seemed that Starbucks’ “…well-documented union-busting activity” claimed another movement.
Is Starbucks Stock a Good Buy?
Turning to Wall Street, analysts have a Moderate Buy consensus rating on SBUX stock based on 12 Buys, seven Holds and two Sells assigned in the past three months, as indicated by the graphic below. After a 16.19% loss in its share price over the past year, the average SBUX price target of $95 per share implies 13.57% upside potential.
