Starbucks Rival Luckin Coffee Opens New China Flagship To Rave Reviews

• Luckin has been expanding profusely in overseas markets, including Singapore, Malaysia, and the United States.
• Macquarie said last year that China's coffee market is experiencing a boom, with the number of coffee drinkers and per-capita consumption rising, and that Luckin has overtaken Starbucks.
• Luckin has been profitable over the last six quarters, while Starbucks has seen profit growth taper over the last year.

Luckin Coffee is in the spotlight for retail traders and investors on Monday after the Chinese coffee chain’s official announcement of the opening of its 30,000th store, the first Origin Flagship, in Shenzhen.

As part of the company’s core theme of Global Origins, the opening signifies a strategic evolution for the brand and underscores Luckin's extensive network, which now spans over 300 cities across China.

Luckin has been expanding rapidly in overseas markets, including Singapore, Malaysia, and the United States, to capitalize on growing demand for its coffee offerings as consumers shift away from its U.S. rival, Starbucks.  

SBUX Vs Luckin In China

Starbucks has failed to lift sales in China, and Luckin Coffee is replacing it as the top go-to place for coffee in the country, even as its U.S. operations were marked by accounting fraud and eventual bankruptcy.

In November, as part of a turnaround at Starbucks under new CEO Brian Niccol to focus on its core business operations in the United States, the coffee giant said that Starbucks announced it has entered an agreement to form a joint venture with Boyu Capital, an investment firm, to operate Starbucks retail in China, in a $4 billion deal.

Luckin has been profitable over the last six quarters, while Starbucks has seen profit growth taper over the last year. Macquarie expects Luckin to post continued net profit growth of at least 20% per year.

Last year, Macquarie said China's coffee market is experiencing a boom, with the number of coffee drinkers and per-capita consumption rising, and that Luckin has overtaken Starbucks as China's largest coffee chain, operating 26,000 stores as of mid-2025.

What Is Retail Thinking About Luckin?

Retail sentiment on Luckin Coffee jumped to ‘extremely bullish’ from ‘bullish’ a week ago, with message volumes at ‘extremely high’ levels, according to data from Stocktwits.

Sentiment on Starbucks was in the ‘bearish’ territory, compared to ‘extremely bullish’ a week ago.

A bullish user on Stocktwits about Luckin said the Flagship store looked “tremendous” and hopes one will be built in Manhattan someday.

In the last seven days, retail message volume on Stocktwits for the stock jumped 233%, and over the past year, the ticker saw an 8% spike in followers on the platform.

Shares of Luckin Coffee have gained more than 12% so far this year.

For updates and corrections, email newsroom[at]stocktwits[dot]com.

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