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Starbucks (SBUX) Stock Moves -1.52%: What You Should Know
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Starbucks (SBUX - Free Report) closed at $72.55 in the latest trading session, marking a -1.52% move from the prior day. This move was narrower than the S&P 500's daily loss of 2.2%. Meanwhile, the Dow lost 1.86%, and the Nasdaq, a tech-heavy index, lost 1.44%.
Heading into today, shares of the coffee chain had gained 24.91% over the past month, outpacing the Retail-Wholesale sector's gain of 11.19% and the S&P 500's gain of 5.45% in that time.
Investors will be hoping for strength from SBUX as it approaches its next earnings release, which is expected to be April 28, 2020. On that day, SBUX is projected to report earnings of $0.36 per share, which would represent a year-over-year decline of 40%. Our most recent consensus estimate is calling for quarterly revenue of $5.91 billion, down 6.2% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $2.08 per share and revenue of $23.97 billion, which would represent changes of -26.5% and -9.59%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for SBUX. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. Within the past 30 days, our consensus EPS projection has moved 27.67% lower. SBUX is holding a Zacks Rank of #3 (Hold) right now.
Investors should also note SBUX's current valuation metrics, including its Forward P/E ratio of 35.41. This valuation marks a premium compared to its industry's average Forward P/E of 29.51.
Also, we should mention that SBUX has a PEG ratio of 2.58. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Retail - Restaurants stocks are, on average, holding a PEG ratio of 2.87 based on yesterday's closing prices.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 154, which puts it in the bottom 40% 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 -1.52%: What You Should Know
Starbucks (SBUX - Free Report) closed at $72.55 in the latest trading session, marking a -1.52% move from the prior day. This move was narrower than the S&P 500's daily loss of 2.2%. Meanwhile, the Dow lost 1.86%, and the Nasdaq, a tech-heavy index, lost 1.44%.
Heading into today, shares of the coffee chain had gained 24.91% over the past month, outpacing the Retail-Wholesale sector's gain of 11.19% and the S&P 500's gain of 5.45% in that time.
Investors will be hoping for strength from SBUX as it approaches its next earnings release, which is expected to be April 28, 2020. On that day, SBUX is projected to report earnings of $0.36 per share, which would represent a year-over-year decline of 40%. Our most recent consensus estimate is calling for quarterly revenue of $5.91 billion, down 6.2% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $2.08 per share and revenue of $23.97 billion, which would represent changes of -26.5% and -9.59%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for SBUX. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. Within the past 30 days, our consensus EPS projection has moved 27.67% lower. SBUX is holding a Zacks Rank of #3 (Hold) right now.
Investors should also note SBUX's current valuation metrics, including its Forward P/E ratio of 35.41. This valuation marks a premium compared to its industry's average Forward P/E of 29.51.
Also, we should mention that SBUX has a PEG ratio of 2.58. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Retail - Restaurants stocks are, on average, holding a PEG ratio of 2.87 based on yesterday's closing prices.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 154, which puts it in the bottom 40% 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.