Howard Schultz announced this week that he's leaving Starbucks (SBUX). During his 30-year-plus tenure, Schultz transformed the local coffeehouse chain into a worldwide leader in the consumer industry. He helped Starbucks carve out a wide economic moat. Schultz and the management team at Starbucks have, in our opinion, done a superior job of looking out for shareholder interests. We've awarded the company an Exemplary Morningstar Stewardship Rating.
What makes a company's stewardship exceptional? We judge company stewardship from an equity holder's perspective; we like managers who are in shareholders' corners. The Morningstar Stewardship Rating for stocks encompasses the quality and depth of a company's management and board of directors in their roles as stewards of investor capital. We place a heavy emphasis on capital allocation decisions; after all, capital allocation decisions ultimately lead to the creation or destruction of value for shareholders.
Susan Dziubinski does not own shares in any of the securities mentioned above. Find out about Morningstar's editorial policies.