In shares of Starbucks, there is a correctional strengthening from a three-month low of October 2. The decline of the emitter’s quotes from the July 52-week high was more than 13.5%. The company announced the publication of financial results for Q3 on October 31. The Wall Street expects another strong report, with earnings per share growth by 13% (YoY) to USD 0.70 and revenue growth by 5% (YoY) to USD 6.63 billion.
During the previous week, Starbucks’ shares grew by 1.52%. S&P500 went up by 0.96% within the same period.
Support and resistance
The emitter continues to show negative dynamics. #SBUX quotes updated local minima. At the moment, the company’s shares are consolidating. The key trading range is 84.00–88.00. The instrument has the potential to further correction.
Indicators don’t give a clear signal: MA (50) began to cross MA (200); MACD histogram started to grow. Positions are to be opened from key levels.
Comparing the company’s multiplier with its competitors in the industry, we can say that #SBUX shares are neutral.
Support levels: 84.00, 79.50, 76.00.
Resistance levels: 88.00, 93.00, 97.50.
Starbucks SBUX Trading tips
If the price consolidates below the support level of 84.00, #SBUX shares may continue to correct. Potential profits should be locked in by orders at 81.00, 78.00, and 76.00. Stop loss – 87.00.
If the price consolidates above 88.00, one may consider buying #SBUX. The moving potential is aimed at the area of 93.00–96.00. Stop loss – 85.00.
Implementation period: 3 days.
Starbucks SBUX Technical Indicators 1HR
|Exponential Moving Average (5)||85.84||Buy|
|Simple Moving Average (5)||85.80||Buy|
|Exponential Moving Average (10)||85.80||Buy|
|Simple Moving Average (10)||85.83||Buy|
|Exponential Moving Average (20)||85.75||Buy|
|Simple Moving Average (20)||85.71||Buy|
|Exponential Moving Average (30)||85.77||Buy|
|Simple Moving Average (30)||85.74||Buy|
|Exponential Moving Average (50)||86.07||Sell|
|Simple Moving Average (50)||85.42||Buy|
|Exponential Moving Average (100)||87.27||Sell|
|Simple Moving Average (100)||87.39||Sell|
|Exponential Moving Average (200)||89.19||Sell|
|Simple Moving Average (200)||90.10||Sell|
|Ichimoku Cloud Base Line (9, 26, 52, 26)||85.51||Neutral|
|Volume Weighted Moving Average (20)||85.65||Buy|
|Hull Moving Average (9)||85.79||Buy|
|Relative Strength Index (14)||53.64||Neutral|
|Stochastic %K (14, 3, 3)||71.48||Neutral|
|Commodity Channel Index (20)||79.53||Neutral|
|Average Directional Index (14)||24.61||Neutral|
|MACD Level (12, 26)||0.03||Buy|
|Stochastic RSI Fast (3, 3, 14, 14)||78.00||Neutral|
|Williams Percent Range (14)||−22.47||Neutral|
|Bull Bear Power||0.29||Neutral|
|Ultimate Oscillator (7, 14, 28)||52.70||Neutral|
Starbucks Company Info
Starbucks Corporation, together with its subsidiaries, operates as a toaster, marketer and retailer of specialty coffees worldwide. The company operates in four segments: America; China / Asia Pacific; Europe, the Middle East and Africa; and channel development. Its stores offer coffee and tea drinks, roasted whole grains and ground coffee, single-serving and ready-to-drink drinks, iced tea and food and snacks; and various food products, such as cakes, breakfast sandwiches and lunch items. The company also licenses its registered trademarks through licensed stores and supermarket accounts and food services. It offers its products under the brands Starbucks, Teavana, Tazo, Seattle’s Best Coffee, Evolution Fresh, La Boulange, Ethos, Frappuccino, Starbucks Reserve, Princi, Starbucks Doubleshot, Starbucks Refreshers and Starbucks VIA. As of April 25, 2019, the company operated approximately 30,000 stores. Starbucks Corporation was founded in 1971 and is based in Seattle, Washington.
Starbucks SBUX Stock Recommendations