Back to top

Image: Bigstock

NCR to Streamline Starbucks' Technology Management in EMEA

Read MoreHide Full Article

NCR Corporation (NCR - Free Report) and Starbucks (SBUX - Free Report) EMEA recently entered a partnership agreement under which the enterprise technology provider will help the coffee chain operator streamline technology management in Europe, Middle East and Africa (“EMEA”) region.

Per the agreement, NCR will be providing its Digital Connected Services solution and multi-lingual Service Desk team services.

NCR’s Digital Connected Services is a one-stop shop for technology management for running business across software, hardware and services. The solution along with NCR’s multi-lingual Service Desk team provides organizations real-time monitoring, remote resolution, maintenance and reporting to run store operations from end to end.

NCR’s solutions will help Starbucks EMEA streamline its technology use and increase visibility across its coffee store operations while maximizing customer satisfaction and lowering costs.

In light of the COVID-19 pandemic and efforts to lower costs, food and restaurant chain operators globally have been seeking technology to automate their processes. Thus, NCR’s growing exposure in the store operation automation space is likely to act as a catalyst in the days ahead.
 

In the recently concluded quarter, NCR’s revenues were $1.9 billion, reflecting a year-over-year surge of 20%, driven by contributions from the Cardtronics business, and solid growth across its banking and hospitality segments. In particular, hospitality revenues surged 29% to $223 million, primarily driven by increase in point-of-sale revenues across the company’s enterprise and small-and-medium business customers.

Recently, NCR partnered with the Baltimore-based convenience store retailer, Royal Farm, to provide self-checkout solutions in more than 250 stores. Before that, it expanded its long term relationship with PenFed Credit Union, America’s second-largest federal credit union, to provide 2.4 million PenFed members cash deposit capabilities at more than 1,200 Allpoint ATMs.

NCR has also been supplementing its business growth through acquisitions. In August, it signed two definitive agreements to acquire LibertyX, a cryptocurrency software provider, and Foremost Business Systems, a Minneapolis-based point-of-sale and restaurant solutions provider.

NCR currently provides self-service kiosks for the financial services, retail, hospitality, travel and gaming industries. The kiosks are well-equipped to support numerous retail self-service functions, including self-check in/out, way-finding, bill payment and gift registries. These solutions create pleasant and convenient experiences for consumers, while reducing costs for NCR’s customers.

Zacks Rank & Stocks to Consider

NCR currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks in the broader technology sector are Advanced Micro Devices (AMD - Free Report) and Qualcomm (QCOM - Free Report) , carrying Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The Zacks Consensus Estimate for Advanced Micro Devices’ fourth-quarter 2021 earnings has been revised upward by 8 cents to 76 cents per share over the past 30 days. For 2021, earnings estimates have moved upward by 15 cents to $2.65 per share in the past 30 days.

Advanced Micro Devices’ earnings beat the Zacks Consensus Estimate in each of the preceding four quarters, the average surprise being 14%. Shares of AMD stock have rallied 66.3% in the year-to-date (YTD) period.

The consensus mark for Qualcomm’s first-quarter fiscal 2022 earnings has been raised to $3 per share from $2.63 in the past 30 days. For fiscal 2022, earnings estimates have been revised upward by 1 cent to $10.52 per share in the past seven days.

Qualcomm’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 11.2%. Shares of QCOM stock have gained 19.1% YTD.