Starbucks Corp. Coverage Initiated at Wedbush (SBUX)
Wedbush initiated coverage on shares of Starbucks Corp. (NASDAQ:SBUX) in a research note issued on Wednesday, TheFlyOnTheWall.com reports. The firm set an “outperform” rating and a $80.00 price target on the stock. Wedbush’s price target points to a potential upside of 10.90% from the company’s current price.
The analysts wrote, “We expect continued Americas and global comp momentum, accelerating Americas and CAP unit growth, and multiple near- and medium-term CPG and emerging market opportunities to result in raised FY14 EPS estimates. Therefore, we initiate with an OUTPERFORM rating. Checks indicate SSS growth momentum ahead of expectations, with La Boulange, throughput and beverage innovation key levers, in our opinion. Our checks of 5% of U.S. co-owned stores indicate SSS growth is tracking above 7% QTD vs. consensus of 6.8%. We believe the La Boulange rollout, throughput initiatives, and beverage innovation are key contributors to current and ongoing comp momentum.”
A number of other firms have also recently commented on SBUX. Analysts at Ned Davis Research upgraded shares of Starbucks Corp. (NASDAQ:SBUX) from a “neutral” rating to a “buy” rating in a research note to investors on Monday, August 19th. Separately, analysts at William Blair upgraded shares of Starbucks Corp. (NASDAQ:SBUX) to an “outperform” rating in a research note to investors on Thursday, August 1st. Finally, analysts at Williams Capital upgraded shares of Starbucks Corp. (NASDAQ:SBUX) from a “hold” rating to a “buy” rating in a research note to investors on Thursday, August 1st. They now have a $85.00 price target on the stock, up previously from $61.00.
Six analysts have rated the stock with a hold rating, twenty-six have given a buy rating and one has given a strong buy rating to the company. The company presently has an average rating of “Buy” and a consensus target price of $73.54.
Starbucks Corp. (NASDAQ:SBUX) traded up 0.24% during mid-day trading on Wednesday, hitting $72.31. 945,021 shares of the company’s stock traded hands. Starbucks Corp. has a 52-week low of $44.27 and a 52-week high of $74.27. The stock’s 50-day moving average is $71.17 and its 200-day moving average is $63.73. The company has a market cap of $54.334 billion and a P/E ratio of 34.53.
Starbucks Corp. (NASDAQ:SBUX) last announced its earnings results on Thursday, July 25th. The company reported $0.55 earnings per share for the quarter, beating the analysts’ consensus estimate of $0.53 by $0.02. The company had revenue of $3.70 billion for the quarter, compared to the consensus estimate of $3.72 billion. During the same quarter last year, the company posted $0.43 earnings per share. Starbucks Corp.’s revenue was up 13.2% compared to the same quarter last year. Analysts expect that Starbucks Corp. will post $2.23 EPS for the current fiscal year.
In other Starbucks Corp. news, Director James Shennan, Jr. sold 19,698 shares of the stock in a transaction that occurred on Wednesday, August 28th. The shares were sold at an average price of $71.08, for a total transaction of $1,400,133.84. Following the completion of the sale, the director now directly owns 10,402 shares of the company’s stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link.
Starbucks Corporation is a roaster, marketer and retailer of coffee operating in 60 countries. The Company purchases and roasts coffees that it sells, along with handcrafted coffee, tea and other beverages and a variety of fresh food items, through Company-operated stores.
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