Starbucks Stock Dips 1.06% as Health Push and Menu Overhaul Struggle with 166th-Ranked Trading Volume

On August 21, 2025, Starbucks (SBUX) closed with a 1.06% decline, trading at $89.51 per share. The stock recorded a daily trading volume of $0.50 billion, ranking 166th in market activity. The move came amid ongoing strategic shifts in the company’s product innovation and customer engagement initiatives.

Starbucks expanded its regional test of coconut water-based beverages, including Coco Matcha and Coco Cold Brew, to over 400 stores across key U.S. markets. The drinks, layered with matcha or cold brew foam atop coconut water, were initially trialed through its “Starting Five” innovation program. The rollout aligns with the company’s broader push into health and wellness, targeting younger demographics seeking customized, low-sugar options. Dana Pellicano, senior vice president of global product experience, emphasized the initiative as part of a “long-standing commitment” to wellness innovation.

The expansion coincides with Starbucks’ “Back to Starbucks” turnaround strategy under CEO Brian Niccol, which includes cafe renovations and menu modernization. Recent financial results show U.S. sales growth fell short of expectations, with a 2% year-over-year decline in the latest quarter. Niccol highlighted plans to introduce protein cold foam later this year as a low-sugar protein boost for beverages, aiming to reinvigorate sales. Despite improved customer satisfaction among Gen Z and millennials, the stock has declined over 1% in 2025.

Industry trends show a 9% annual increase in beverage offerings by top chains, driven by demand for cold, customizable options. Starbucks’ focus on cold foam modifiers, which grew 23% year-over-year, underscores its alignment with shifting consumer preferences. The company’s Green Apron Service strategy aims to enhance in-store experiences, but challenges persist in reversing post-pandemic sales slumps in its core markets.

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