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Starbucks (SBUX) Dips More Than Broader Markets: What You Should Know
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Starbucks (SBUX - Free Report) closed at $104.60 in the latest trading session, marking a -1.01% move from the prior day. This change lagged the S&P 500's daily loss of 0.66%. At the same time, the Dow lost 0.29%, and the tech-heavy Nasdaq lost 1.25%.
Prior to today's trading, shares of the coffee chain had gained 0.27% over the past month. This has outpaced the Retail-Wholesale sector's loss of 0.4% and lagged the S&P 500's gain of 3.42% in that time.
Wall Street will be looking for positivity from SBUX as it approaches its next earnings report date. The company is expected to report EPS of $0.55, down 30.38% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $6.88 billion, down 2.99% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.81 per share and revenue of $28.36 billion. These totals would mark changes of +140.17% and +20.61%, respectively, from last year.
Any recent changes to analyst estimates for SBUX should also be noted by investors. Recent revisions tend to reflect the latest 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. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.09% higher within the past month. SBUX is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, SBUX currently has a Forward P/E ratio of 37.66. This valuation marks a premium compared to its industry's average Forward P/E of 30.7.
Meanwhile, SBUX's PEG ratio is currently 2.74. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Retail - Restaurants stocks are, on average, holding a PEG ratio of 2.74 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 202, putting it in the bottom 21% 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.
To follow SBUX in the coming trading sessions, be sure to utilize Zacks.com.
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Starbucks (SBUX) Dips More Than Broader Markets: What You Should Know
Starbucks (SBUX - Free Report) closed at $104.60 in the latest trading session, marking a -1.01% move from the prior day. This change lagged the S&P 500's daily loss of 0.66%. At the same time, the Dow lost 0.29%, and the tech-heavy Nasdaq lost 1.25%.
Prior to today's trading, shares of the coffee chain had gained 0.27% over the past month. This has outpaced the Retail-Wholesale sector's loss of 0.4% and lagged the S&P 500's gain of 3.42% in that time.
Wall Street will be looking for positivity from SBUX as it approaches its next earnings report date. The company is expected to report EPS of $0.55, down 30.38% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $6.88 billion, down 2.99% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.81 per share and revenue of $28.36 billion. These totals would mark changes of +140.17% and +20.61%, respectively, from last year.
Any recent changes to analyst estimates for SBUX should also be noted by investors. Recent revisions tend to reflect the latest 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. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.09% higher within the past month. SBUX is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, SBUX currently has a Forward P/E ratio of 37.66. This valuation marks a premium compared to its industry's average Forward P/E of 30.7.
Meanwhile, SBUX's PEG ratio is currently 2.74. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Retail - Restaurants stocks are, on average, holding a PEG ratio of 2.74 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 202, putting it in the bottom 21% 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.
To follow SBUX in the coming trading sessions, be sure to utilize Zacks.com.