SBUX trade ideas
SBUX could break outGrowth in China
SBUX same store sale are expected to increase over the next few years as China's middle class doubles, but are currently flat to slightly negative.
In spite of same-store sales in China falling, SBUX revenue is up 20% in China due to the opening of new stores at a rate of one shop every 15 hours in China.
China has recently partnered with Alibaba to gain marketshare in the online delivery of coffee, but there remains some competition with the first Chinese coffee unicorn partnering with Tencent for delivery services and customer analytics.
Overall Growth
On average, same-store sales are only increasing at a pitiful 3%, but is expected to remain positive for the foreseeable future.
Current Valuation
Relative to the market, SBUX is undervalued. A PE of 24 or so would be more ideal, which would is 33% higher than it's current PE of 18. Assuming current expectations and earnings growth remains above 10%, that would add another 10% on a PE of 24 next year, putting my PT at about $88, and near around $100 by the Jan 2020 options expiration.
Given 9/33 analysts have a rating of HOLD, 14/33 analysts have a rating of BUY, and 10/33 analysts have a rating of STRONG BUY, with 0/33 analysts have a rating of SELL, I think SBUX will grow into its industries average PE or a bit higher at around 24.
SBUX is on the verge of breaking above it's bear trend into a bullish one.
2020 Jan 17, Strike $75 calls could have an upside of 2,000% ($1 to $20+) if the break above it's bear trend occurs in the next month or so and it's quarter to quarter upward trend is sustained into the long-term.
$SBUX Short Term Trading IdeaStarbucks has been trading in an ascending channel since mid June.
Blue line is a long term resistance, there is an opportunity for some small profits in a short period of time.
Also, Fundamentally there is the up coming pumpkin spice / holiday season which could give a boost to the stock.
SBUX LONG PROJECTIONPrice move in upward sloping channel, currently trading at support level 52.50 inline with fibs retracement level.next key resistance is at 56.00
Starbuck ( SBUX ) --- 2 WAYSSBUX are accumulate and we will not clearly until the next step of this.
Waiting for next action and make your decision and entry investing depend on this chart as reference.
Thanks for reading and dont forget put a LIKE!
Starbucks two-way tradeSBUX has previously shown many trading patterns such as head and shoulders and flags. Currently, the stock is in an upward flag, but also on the middle of two Fibonacci levels. The blue line represents short-term resistance if the stock breaks that I believe it will stay in this Fibonacci level with enough time to hold until the next resistance line. This upward pressure is also backed by the RSI breaking out of a flap pattern and going bullish. However, if the stock breaks the flap pattern downwards then it may be stronger as the Coppock curve has also reached its resistance, so hence I put a short order in until the next support line. Also, the 50 SMA could potentially act as upper resistance, hence why I have cut my take-profit lower.
Starbucks - Spilled CoffeeNice retest of the fib. Time to head down? I will enter a short position. My stop loss will above today's high or break and close above the fib.
Starbucks to begin markdownNASDAQ:SBUX has broken through the ICE and left distribution range to begin the markdown.
Short orders at LPS.
Over-reaction to negative sentiments or a major reversal?With the current 2-day high-percentage decline on significant volume, combined with the breach of the often-tested support level of ~$53, NASDAQ:SBUX seems to be at the beginning stages of a major correction.
In the absence of some positive news in the near future, I see the next major support area to be near $43.70.
SBUX buy the dip?Selling a 1 lot at the 50 strike for 1.32 and 93 D.T.E. for an initial basis of 48.68 which is the 34 delta strike. Probability of profit is 70% and even though their customers are all addicted to the product I am not convinced I want this stock and may just treat this as a trade. A put ratio could not be placed for a credit (5 wide strikes) so this is where I will start my position. Volatility is high enough at 53% but it says earnings are July 26......since it has dropped $5 today I am assuming they have pre-announced and maybe earnings will be a non-event?? Wish me luck.
$SBUX - Time to Cut Back On CaffeineI remember buying this stock back in 2012 at around 30/shr and held it through the bull run. It's sad to see this drop so much in such a short period of time. With the rising cost of coffee and the cutback in construction, I am assuming there will be weak guidance for this upcoming ER.
Next week, we may see an ER run up to the 38% - 61% fib before the next drop.
My plan is to purchase calls first thing Monday and enjoy one last run, and short it back on the way down to $43 (or even lower). For now, I'm marking this short- term "LONG" until it finishes the retracement.
SBUX weekly. Its time to sellIt looks like the SBUX is one of the first stocks from S&P500 which is ready for a severe and long-term correction. I'm not sure yet, but I do not expect SBUX can form any new major high. I'm looking to open a short position if the market gives me such opportunity...
P.S.
Please do not be confused. This is not pure Elliott Wave Analysis. This analysis is based on my fork of Elliot theory. The simplified concept of this fork is published here: plus.google.com
SBUX daily - bounce coming or cliff drop?Last week has been rough for SBUX having dropped $7 (12%) in a matter of 6 days. Now approaching the round level of $50 and losing its bear steam, we may see a short term bounce.
I've drawn a wedge down (bullish pattern) and would like to see a green day breaking this pattern before entering a short term long position with a stop below the $50 mark.
Now, I'm also fully prepared to go short have this break through that $50 mark as that would be very bearish and we may see the low $40's soon after.
Its a matter of waiting to see what happens.
Share your thoughts down below and happy trading :)
Starbucks might see a pick up right here
We hit the long term trend line right at the 50$ so for me it is in a support spot.
Lets see what happens and
May the markets be with us
STARBUCKS - CORRECTION AHEAD?
For this one it is very important to take note of that sloped yellow support line that has already held for longer than I initially thought! Only after breaking this line we can confirm a bigger correction.
Starbucks has made an amazing run all the way to above the 2.618 fib extension of wave 1!
It is obvious that this kind of growth is most likely not sustainable and we are in a quite overreached market still. Therefore I think we need to correct to the 0.382 fib level ($41.5) AT LEAST to remain in a healthy uptrend, much rather would I see even a 0.5 retracement ($34)!
Sidenote: There are other ways to count this, which is why I was very clear about that yellow support! Stay safe!
I hope this was helpful! Take care!
Starbucks: Multi-Layer Elliott Impulse Wave ExtensionsSimple Elliott Wave demonstration of multiple extensions within Starbucks price rise over the last Quarter-century. Expecting a possible correction of 35-50%, but anything can happen. Know your Elliott Wave rules and apply them!
