Jim Cramer on Starbucks: "I Think That Brian Niccol Is Going to Pull Off This Turnaround"

Starbucks Corporation (NASDAQ:SBUX) is one of the stocks Jim Cramer put under a microscope. When a caller mentioned that 7 Brew might be a competitor to the company, Cramer remarked:

“Alright, well, let me retort with the fact that I think that Brian Niccol is going to pull off this turnaround. At one point, Starbucks today was all the way up to $94. It finished at $93.28. It’s been a slow step-by-step, inch-by-inch move from the $70s, but it’s coming back up. I hope that the Seven Brothers, the 7 Brews, the Seven Brides, whatever is doing well. But I got to tell you, my choice is Starbucks.”

Starbucks Corporation (NASDAQ:SBUX) sells coffee, tea, beverages, and food products through its stores and licensed outlets. The company’s brands include Starbucks Coffee, Teavana, Seattle’s Best Coffee, Ethos, and Starbucks Reserve. During the January 6 episode, Cramer said that he thinks the stock will make a comeback this year, as he stated:

“Then there are the hope-spring-eternal buyers. I see a bunch of these stories, and I’m involved in some of them for the Charitable Trust, stocks like Nike, like Starbucks, which have seen their share price just obliterated by the poor performance of previous CEOs. I see green shoots in both these companies. And their strength, I’ve got to tell you, their strength this year so far reflects a real rebound… As for Starbucks, I think this is the year it comes back, but I have to tell you that it’s been a tough run for CEO Brian Niccol… of Chipotle, as it seems like the Seattle-based coffee chain was far more broken than anyone realized. Lots of poorly performing stores, many of them are being closed. Big execution issues, those are being fixed. Miserable throughput, that’s already been fixed. I think everything is changing for the better.”

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Disclosure: None. This article is originally published at Insider Monkey.