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Starbucks (SBUX) Stock Moves -0.47%: What You Should Know
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Starbucks (SBUX - Free Report) closed the most recent trading day at $79.05, moving -0.47% from the previous trading session. This change was narrower than the S&P 500's daily loss of 1.64%. At the same time, the Dow lost 1.05%, and the tech-heavy Nasdaq lost 0.41%.
Heading into today, shares of the coffee chain had gained 2.5% over the past month, outpacing the Retail-Wholesale sector's loss of 3.57% and the S&P 500's gain of 0.73% in that time.
Wall Street will be looking for positivity from Starbucks as it approaches its next earnings report date. On that day, Starbucks is projected to report earnings of $0.78 per share, which would represent a year-over-year decline of 22.77%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $8.21 billion, up 9.5% from the year-ago period.
SBUX's full-year Zacks Consensus Estimates are calling for earnings of $2.92 per share and revenue of $32.38 billion. These results would represent year-over-year changes of -9.88% and +11.42%, respectively.
It is also important to note the recent changes to analyst estimates for Starbucks. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. Over the past month, the Zacks Consensus EPS estimate has moved 7.25% lower. Starbucks currently has a Zacks Rank of #5 (Strong Sell).
Looking at its valuation, Starbucks is holding a Forward P/E ratio of 27.17. Its industry sports an average Forward P/E of 20.73, so we one might conclude that Starbucks is trading at a premium comparatively.
We can also see that SBUX currently has a PEG ratio of 2.31. 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. SBUX's industry had an average PEG ratio of 1.85 as of yesterday's close.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 205, putting it in the bottom 19% 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 -0.47%: What You Should Know
Starbucks (SBUX - Free Report) closed the most recent trading day at $79.05, moving -0.47% from the previous trading session. This change was narrower than the S&P 500's daily loss of 1.64%. At the same time, the Dow lost 1.05%, and the tech-heavy Nasdaq lost 0.41%.
Heading into today, shares of the coffee chain had gained 2.5% over the past month, outpacing the Retail-Wholesale sector's loss of 3.57% and the S&P 500's gain of 0.73% in that time.
Wall Street will be looking for positivity from Starbucks as it approaches its next earnings report date. On that day, Starbucks is projected to report earnings of $0.78 per share, which would represent a year-over-year decline of 22.77%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $8.21 billion, up 9.5% from the year-ago period.
SBUX's full-year Zacks Consensus Estimates are calling for earnings of $2.92 per share and revenue of $32.38 billion. These results would represent year-over-year changes of -9.88% and +11.42%, respectively.
It is also important to note the recent changes to analyst estimates for Starbucks. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. Over the past month, the Zacks Consensus EPS estimate has moved 7.25% lower. Starbucks currently has a Zacks Rank of #5 (Strong Sell).
Looking at its valuation, Starbucks is holding a Forward P/E ratio of 27.17. Its industry sports an average Forward P/E of 20.73, so we one might conclude that Starbucks is trading at a premium comparatively.
We can also see that SBUX currently has a PEG ratio of 2.31. 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. SBUX's industry had an average PEG ratio of 1.85 as of yesterday's close.
The Retail - Restaurants industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 205, putting it in the bottom 19% 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.