Q: What is Starbucks 2024/Q3 Earnings Preview?
TigerGPT Answer: ### Starbucks Corporation (SBUX) Q3 2024 Earnings Call Summary
#### Forecast Data
- **Earnings Per Share (EPS):** $0.93 (Estimated)
- **Prior Year (Q3 2023):** $1.00
- **Percentage Change:** -7%
- **Significance:** The decline in EPS indicates a potential decrease in profitability compared to the same period last year, which could be a concern for investors.
- **Total Revenue:** $9,241,979,440 (Estimated)
- **Prior Year (Q3 2023):** $9,168,300,000
- **Percentage Change:** +0.8%
- **Significance:** A slight increase in revenue suggests that the company is still growing, albeit at a slower pace.
- **EBIT:** $1,517,305,500 (Estimated)
- **Prior Year (Q3 2023):** $1,591,000,000
- **Percentage Change:** -4.6%
- **Significance:** The decrease in EBIT indicates a reduction in operating income, which could be due to higher operating costs or lower margins.
#### Quarterly Important News
- **Positive News:**
- **Efficiency Improvements:** Starbucks has been investing in store equipment to enhance operational efficiency, which has led to a significant stock price increase of 6.69%.
- **Elliott Investment Management Stake:** The acquisition of a substantial stake by Elliott Investment Management has positively impacted the stock price, indicating investor confidence.
- **Negative News:**
- **Technical Issues:** A global technical failure affected Starbucks' mobile ordering and payment systems, which could have short-term negative impacts on customer satisfaction and sales.
- **Macroeconomic Challenges:** The company faces significant challenges due to a deteriorated macroeconomic environment and internal struggles, which could affect future performance.
#### Forecast Viewpoints
- **Related Articles:**
- Starbucks (SBUX) Q3 Earnings Loom: Buy, Sell or a Wait-and-See?
- Starbucks' Earnings Woes: Why A New Drop Seems Likely
- Ahead of Starbucks (SBUX) Q3 Earnings: Get Ready With Wall Street Estimates for Key Metrics
- Starbucks (SBUX) Expected to Beat Earnings Estimates: Can the Stock Move Higher?
#### Stock Trend Analysis
- **Latest Price:** $74.7999 (as of 2024-07-27)
- **Support Price:** $74.25 (as of 2024-07-25)
- **Resistance Price:** $73.15 (as of 2024-07-25)
- **Quarterly Stock Price Fluctuation:** -14.82% (2024-03-31 to 2024-06-29)
- **Analysis:** The stock has experienced a significant decline over the past quarter. The current support level is $74.25, and the resistance level is $73.15. The stock is currently trading near its support level, indicating potential for a rebound if positive earnings are reported.
#### Options Large Order Analysis
- **Call Options:**
- **SBUX 20240719 75.0 call:** 1500 units sold
- **SBUX 20240726 83.0 call:** 1155 units bought
- **Put Options:**
- **SBUX 20240719 75.0 put:** 1174 units bought
- **SBUX 20240719 75.0 put:** 1500 units bought
- **SBUX 20250117 65.0 put:** 2000 units bought
- **Analysis:** The presence of significant put option purchases suggests a bearish sentiment among options traders, indicating a higher probability of the financial report falling below expectations.
#### Analyst Ratings and Target Price Forecast
- **Analyst Ratings:**
- **3 Recommend, 8 Buy, 26 Hold**
- **Target Price:**
- **Mean:** $86.38
- **Low:** $75.00
- **High:** $112.00
- **Valuation Status:** The current stock price of $74.7999 is below the mean target price, suggesting that the stock may be undervalued. However, the high number of hold ratings indicates cautious optimism among analysts.
#### Comprehensive Conclusion
Starbucks Corporation is expected to report a slight increase in revenue but a decline in EPS and EBIT for Q3 2024 compared to the same period last year. The stock has faced significant challenges, including technical issues and macroeconomic headwinds. Despite some positive news, such as efficiency improvements and investor confidence from Elliott Investment Management, the overall sentiment remains cautious. The options market indicates a bearish outlook, and analysts have a mixed view with a majority holding a "Hold" rating. Investors should closely monitor the upcoming earnings report and management's discussion for further insights.
#### Disclaimer
The above content is generated by the AI robot TigerGPT and does not represent any personal views. The content is for reference only and does not constitute any investment advice.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
