Back to top

Image: Bigstock

Five Reasons to Buy Starbucks (SBUX) Ahead of Earnings

Read MoreHide Full Article

On Thursday, January 25th, Starbucks (SBUX - Free Report) will release its first quarter earnings results after the bell. The company is a Zacks Rank 3 (Hold), and have a Value, Growth, and Momentum score of B.

Dave will look at Starbucks’s past earnings, take a look at what is currently going on with the company, and give us his thoughts on their upcoming earnings announcement.

Furthermore, Dave will uncover some potential options trades for investors looking to make a play on Starbucks ahead of earnings.

Starbucks in Focus

Starbucks Corporation purchases and roasts high-quality whole bean coffees and sells them along with fresh, rich-brewed, Italian style espresso beverages, a variety of pastries and confections, and coffee-related equipments primarily through its company-operated retail stores. In addition to sales through its company-operated retail stores, Starbucks sells whole bean coffees through a specialty sales group and supermarkets. Additionally, Starbucks produces and sells bottled Frappuccino coffee drink and a line of premium ice creams through its joint venture partnerships and offers a line of innovative premium teas produced by its wholly owned subsidiary, Tazo Tea Company. The company's objective is to establish Starbucks as the most recognized and respected brand in the world.

Starbucks is expected to report earnings at $0.57 per share according to the Zacks Consensus Estimate. Last quarter they met earnings expectations. They reported earnings at $0.55 per share.

Starbucks Corporation Price, Consensus and EPS Surprise

Starbucks Corporation Price, Consensus and EPS Surprise | Starbucks Corporation Quote

Bottom Line

How should investors play Starbucks ahead of their earnings report? For insights on the best options trades, then tune in at 1:00pm CST today to see David’s thoughts.

The Hottest Tech Mega-Trend of All

Last year, it generated $8 billion in global revenues. By 2020, it's predicted to blast through the roof to $47 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.

See Zacks' 3 Best Stocks to Play This Trend >>


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Starbucks Corporation (SBUX) - free report >>