Earnings Preview: What To Expect From Starbucks After The Close
Starbucks Corporation SBUX is scheduled to report earnings after Tuesday’s close. The stock hit a record high of $99.72/share in 2019 and is currently trading near $74/share. The stock is prone to big moves after reporting earnings and can easily gap up if the numbers are strong. Conversely, if the numbers disappoint, the stock can easily gap down. To help you prepare, here is what the Street is expecting:
Starbucks is expected to report a loss of ($0.61)/share on $4.34 billion in revenue. Meanwhile, the so-called Whisper number is ($0.54). The Whisper number is the Street’s unofficial view on earnings.
Starbucks Corporation, together with its subsidiaries, operates as a roaster, marketer, and retailer of specialty coffee worldwide. The company operates in three segments: Americas; International; and Channel Development. Its stores offer coffee and tea beverages, roasted whole bean and ground coffees, single-serve and ready-to-drink beverages, and iced tea; and various food products, such as pastries, breakfast sandwiches, and lunch items. The company also licenses its trademarks through licensed stores, and grocery and foodservice accounts. It offers its products under the Starbucks, Teavana, Seattle’s Best Coffee, Evolution Fresh, Ethos, Starbucks Reserve, and Princi brand names. As of October 30, 2019, the company operated approximately 31,000 stores. Starbucks Corporation was founded in 1971 and is based in Seattle, Washington.
Pay Attention To How The Stock Reacts To The News:
From where I sit, the most important trait I look for during earnings season is how the market and a specific company reacts to the news.