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Starbucks (SBUX) Stock Moves -0.74%: What You Should Know
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In the latest trading session, Starbucks (SBUX - Free Report) closed at $114.71, marking a -0.74% move from the previous day. This move was narrower than the S&P 500's daily loss of 0.75%. At the same time, the Dow lost 0.3%, and the tech-heavy Nasdaq lost 0.23%.
Coming into today, shares of the coffee chain had gained 3.3% in the past month. In that same time, the Retail-Wholesale sector lost 5.11%, while the S&P 500 lost 0.13%.
Wall Street will be looking for positivity from Starbucks as it approaches its next earnings report date. In that report, analysts expect Starbucks to post earnings of $0.79 per share. This would mark year-over-year growth of 29.51%. Meanwhile, our latest consensus estimate is calling for revenue of $7.97 billion, up 18.05% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.45 per share and revenue of $32.68 billion. These totals would mark changes of +6.48% and +12.44%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Starbucks. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.62% lower. Starbucks is currently a Zacks Rank #4 (Sell).
In terms of valuation, Starbucks is currently trading at a Forward P/E ratio of 33.54. For comparison, its industry has an average Forward P/E of 23.16, which means Starbucks is trading at a premium to the group.
Also, we should mention that SBUX has a PEG ratio of 1.69. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Retail - Restaurants stocks are, on average, holding a PEG ratio of 2.03 based on yesterday's closing prices.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 236, putting it in the bottom 8% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Starbucks (SBUX) Stock Moves -0.74%: What You Should Know
In the latest trading session, Starbucks (SBUX - Free Report) closed at $114.71, marking a -0.74% move from the previous day. This move was narrower than the S&P 500's daily loss of 0.75%. At the same time, the Dow lost 0.3%, and the tech-heavy Nasdaq lost 0.23%.
Coming into today, shares of the coffee chain had gained 3.3% in the past month. In that same time, the Retail-Wholesale sector lost 5.11%, while the S&P 500 lost 0.13%.
Wall Street will be looking for positivity from Starbucks as it approaches its next earnings report date. In that report, analysts expect Starbucks to post earnings of $0.79 per share. This would mark year-over-year growth of 29.51%. Meanwhile, our latest consensus estimate is calling for revenue of $7.97 billion, up 18.05% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.45 per share and revenue of $32.68 billion. These totals would mark changes of +6.48% and +12.44%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Starbucks. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.62% lower. Starbucks is currently a Zacks Rank #4 (Sell).
In terms of valuation, Starbucks is currently trading at a Forward P/E ratio of 33.54. For comparison, its industry has an average Forward P/E of 23.16, which means Starbucks is trading at a premium to the group.
Also, we should mention that SBUX has a PEG ratio of 1.69. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Retail - Restaurants stocks are, on average, holding a PEG ratio of 2.03 based on yesterday's closing prices.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 236, putting it in the bottom 8% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.