The stock of Starbucks Corporation (NASDAQ:SBUX) is now priced at $85 and the shares are 1.59 points up or 1.91% higher compared to its previous closing price of $83.41. The stock had 9.304 million contracts set over the past session. SBUX shares’ daily volume is compared to its average trading volume at 9.271 million shares. However, it has a float of 1170 million and although its performance was 10.29% over the week, it’s one to watch. Analysts have given the SBUX stock a yearly average price target of $82.77 per share. It means the stock’s downside potential is -2.62% with the SBUX share price recently placing at $83.43 to $85.29. However, some brokerage firms have priced the stock below the average, including one that has called $74.
The shorts are running away from the Starbucks Corporation stock, with the latest data on short interest released on August 14, 2020, showing that short interest numbers in the SBUX shares have declined. Short interest in the stock represents just 1.1% of its float, but the volume has dropped by -1994976. The volume of shorted shares dropped to 12.815 million from 14.81 million shares over the last two weeks. The average intraday trading volume has been 6.756 million shares, which means that days to cover moved to roughly 1.896744.
In the last trading session, Starbucks Corporation (NASDAQ:SBUX) raised by $7.93 over the week and gained $8.47 on its 20-day. The stock’s high in the recent session is lower when compared to its 52-week high of $98.14. The stock recorded its established 52-week high on 08/30/19.
Since 03/18/20, the stock has traded to a low of $50.02 at 69.93%, an encouraging piece of data likely to interest most investors out to exploit the stock’s recent surge. The stock has a beta allocation of 0.8. Being above 1 means that the stock’s volatility is higher than the market and traders are keenly watching it.
Looking at current readings, Starbucks Corporation’s two-week RSI is 73.94. This suggests that the stock is oversold at the moment and that SBUX shares’ price movement remains not stable. The stochastic readings are equally revealing at 95.17% meaning the SBUX share price is currently in oversold territory.
The technical chart shows that the SBUX stock will likely settle at between $85.72 and $86.43 per share. However, if the stock dips below $83.86, then its market would become much weaker. Any downside could see the stock price sliding to levels as low as $82.71.
Currently, the stock is trading in the green of MACD, with a reading of 3.26. Investors always pay attention to any move above or below the zero-line, mainly because the indicator points to the position of the stock’s short-term average relative to its long-term measure. A MACD -a reading above the zero line means that the short-term is above the long-term average. This scenario implies that there is an upward momentum. The opposite is true when the MACD falls below the zero-line.
Analysts at Stifel raised their recommendation for SBUX from Hold to Buy in August 25 review while maintain their target price of $90. Wells Fargo analysts see the stock as a Overweight with a target price of $92 in a flash note released to investors on July 20 initiating covering the stock. JP Morgan analysts see the stock as Neutral. Nonetheless, the analysts revised the share prices up on June 24, placing it at $78 from $73.
The average rating for the SBUX equity is 2.51 and is currently gathering a bullish momentum. Of 36 analysts tracking Starbucks Corporation polled by Reuters, 20 rated SBUX as a hold. The remaining 16 analysts were split evenly. However, the split wasn’t equal as a majority (15) rated it as a buy or strong buy. 1 analyst advised investors against buying the stock or to sell if they own any of the stock.
Elsewhere, the SBUX stock price is 31.68X ahead of its 12-month Consensus earnings per share estimates. The stocks P/S ratio currently stands at 75.9 above the group’s average of 48.8.
Zacks Consensus Estimate forecasts that the current-quarter revenues for Starbucks Corporation (NASDAQ:SBUX) will increase by about 42.11%, which will see them reach $6000 million. The company’s full-year revenues are, however, expected to diminish by about -12.07%, down from $26500 million to $23300 million. SBUX’s expected adjusted earnings should drop almost -58.57% to end up at $0.29 per share, while for the fiscal year, analysts project the company’s earnings to drop by about -66.43% to record $0.95/share.