|Bid||0.00 x 0|
|Ask||0.00 x 0|
|Day's Range||61.14 - 61.91|
|52 Week Range||52.58 - 64.87|
|PE Ratio (TTM)||31.31|
|Forward Dividend & Yield||1.20 (1.96%)|
|1y Target Est||N/A|
Starbucks will announce its Q1 results on January 25, and after the company lowered its long term growth target (as part of its fiscal year 2017 results announcement), we will be keenly watching the company's comparable sales — especially customer traffic and revenue growth figures - for Q1 2018.
Starbucks’ digital platform has experienced a slowdown analysts say, but there are opportunities for growth in 2018
As of January 18, 2018, Starbucks (SBUX) was trading at $61.09. On the same day, analysts were expecting the company’s stock price to reach $63.60, which represents growth of 4.1% from its current stock price.
Starbucks' (SBUX) Q1 results are likely to gain from higher revenues, lower tax rate and share repurchases, partly offset by lower margins.
Due to the high visibility in Starbucks’s (SBUX) earnings, we have opted to look at the forward PE (price-to-earnings) multiple. The forward PE multiple is calculated by dividing the company’s stock price from analysts’ earnings estimates for the next four quarters. Starbucks’s expansion plans in China and the expectation of a decline in effective tax rate due to the enactment of tax reforms appear to have increased investor confidence, leading to a rise in Starbucks’s stock price and its forward PE multiple.
Dunkin Brands Group Inc (NASDAQ:DNKN) is up a whole lot more than its nearest competitor. DNKN stock has roared more than 50% higher since 2016. After all, when you think of coffee house operators, people naturally think of Starbucks Corporation (NASDAQ:SBUX).
For fiscal 1Q18, analysts are expecting Starbucks (SBUX) to post adjusted EPS (earnings per share) of $0.57, which represents growth of 9.6% from $0.52 in fiscal 1Q17. The EPS growth is expected to be driven by revenue growth, a lower effective tax rate, and share repurchases. Share repurchases reduce the number of shares outstanding, thus boosting the company’s EPS.
Starbucks is testing out a cashless store in downtown Seattle. The coffee chain, often lauded in the technology industry for innovations in mobile payments, is no longer accepting cash at its location in the Russell Investments Center. Starbucks will accept credit cards or payments through the company's mobile app, just not cash.
For fiscal 1Q18, analysts are expecting Starbucks (SBUX) to post revenue of $6.2 billion, which represents growth of 8.1% from $5.7 billion in fiscal 1Q17. The revenue growth is expected to be driven by the addition of new restaurants, positive SSSG (same-store sales growth), and an increase in revenue from channel development and other segments. Compared to fiscal 1Q17, Starbucks operated 405 more company-operated restaurants and 1,200 more franchised restaurants by the end of fiscal 4Q17.
Starbucks (SBUX) is scheduled to announce its fiscal 1Q18 earnings after the market closes on January 25, 2018. In fiscal 4Q17, Starbucks posted adjusted EPS (earnings per share) of $0.55 on revenues of $5.7 billion against analysts’ estimate of $0.56 on revenues of $5.8 billion. Despite posting lower-than-expected earnings, the stock has increased due to the expectation of a decline in its effective tax rate on the enactment of tax reforms and the company’s expansion in China, where the company posted a strong performance in fiscal 2017.
William Priest: Trees don’t grow to the sky, but I am going to repeat two picks from last year that have gone up a lot because I believe they will keep rising. The first is Universal Display [OLED], an $8 billion-market-cap company. When a colleague of mine discovered the company, he told us that it was the best stock idea he had seen in 30 years.
Last quarter, Starbucks backed off on its goals for revenue and profit growth. Here's what to expect when it reports its results next week.
A Memphis-based company that employs young adults on the autism spectrum has launched phase two of its campaign to reclaim its name from Starbucks. The purpose of the business, however goes beyond that: to improve the high unemployment rate for young adults on the autism spectrum. GiveGood claimed its mission was negatively impacted by Starbucks holiday campaign that featured the theme “Give Good” on the hot-cup sleeve of its products.
Fourth-quarter earnings season is finally underway, and investors are already getting excited about the upcoming reports from market-moving tech companies like Netflix (NFLX). Make sure to keep an eye on these companies as they prepare to report during the week of January 22.
Customers that stop in for a drink at the Starbucks store at Second Avenue and University won’t be able to use cash to complete their transactions. This is part of a test that the company doing to see how its customers handle not being able to use cash at its stores. Instead of cash, customers that the Starbucks store will have to complete their transactions with a credit card, debit card or by ordering on mobile.
Do They Pick Restaurant Stocks? Millennials have a tendency to turn to sectors that they are familiar with and companies whose products or services are part and parcel of their lives. This trend has been motivating food chains like McDonald’s, Darden and Papa John’s to ramp up their efforts to meet the demands of millennials.
Four restaurant stocks, DNKN, EAT, MCD and CBRL, are not only catching the attention of millennials through digital initiatives but also of the stock market with strong fundamentals.
While Starbucks (SBUX) underperformed the market in 2017, hurt by its curtailed growth projections, it could get a boost when it reports fourth-quarter earnings next week. Analysts expect the coffee giant to report earnings per share of 57 cents, up from 52 cents a year ago, on revenues of $6.2 billion. Oppenheimer's Brian Bittner and Michael Tamas aren't expecting a blowout quarter, but they're optimistic enough to stay bullish on Starbucks.
Bob Derrington, Telsey senior research analyst, breaks down his outlook on Starbucks and coffee consumers in the United States.