Starbucks is down 3.7% at $56.32 a share on Friday morning after announcing first-quarter results.
Results were mostly in line with Wall Street estimates, with the exception of the company’s forecast for 2017 revenue growth of 8% to 10%, down from its previous estimate of a double-digit rise, Reuters reports. The company also said that visits to its stores in the US were down.
Starbucks is struggling to deal with the amount of mobile orders coming through its stores, which is slowing down service and alienating customers. Transactions, a measure of customer traffic, dropped 2% in the most recent quarter, according to the company.
Starbucks is also facing pressure from declining traffic to shopping malls and restaurants, as customer shopping habits change and people increasingly choose to eat at home.
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