SBUX Stock is Really Perking Up

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Starbucks Corporation (SBUX) — This leading retailer of high-quality coffee products has more than 20,800 retail stores, as well as many other retail channels.

On Monday, analysts at Goldman Sachs (GS) resumed coverage of SBUX stock with a “buy” rating and $95 price target. Notably, the investment firm added the stock to its prestigious “America’s Conviction List.”

Founder and CEO Howard Schultz detailed the company’s ambitious expansion plans at its analyst day presentation last week. These included new stores and new menu offerings in an effort to almost double annual revenue by 2019.

Jefferies’ analyst Andy Barish maintained his “buy” rating on shares, raising his price target to $97 from $88. He cited an estimated 2% same-store sales increase, driven specifically by food sales. The company’s Mobile Order & Pay program is expected to attract higher food traffic and increase operational efficiency.

SBUX stock executed a powerful breakout from a “V” bottom and a six-month rectangle pattern. Although shares had a strong breakout to a new high, with support from a buildup of positive volume and a strong MACD, the stock appears to be moving ahead of its fundamental and technical support by piercing the upper Bollinger Band.

SBUX stock is technically strong and should be bought on any weakness. Buy shares under $82 with a trading objective of $92.

Since SBUX stock executed a golden cross in July — a long-term positive technical signal — investors should consider buying shares at the market price for longer-term appreciation to $100-plus.

SBUX Stock Chart
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Article printed from InvestorPlace Media, https://investorplace.com/2014/12/starbucks-corporation-sbux-stock-trade-day/.

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