Starbucks... bang the recesssion gongAlways said, when. starbucks fails, discretionary spending over, recesssion here, end of $10 coffee, people making their own. .
SRB trade ideas
Starbucks Faces Stock Slump Amidst Global ChallengesStarbucks ( NASDAQ:SBUX ), the renowned coffee giant, is weathering the storm as its stock takes a steep tumble following a downward revision of its annual forecasts. With shares plunging nearly 14%, concerns loom large over the company's future trajectory.
The primary culprits behind Starbucks' woes are twofold: a sluggish demand in the United States and a slower-than-anticipated recovery in the crucial Chinese market. Persistent weakness in the U.S. market, exacerbated by inflationary pressures and a shift towards at-home consumption, has affected the company's bottom line. The adverse impact of several rounds of price hikes has driven customers away from cafes and restaurants, opting instead for home-brewed alternatives.
Adding to the company's woes are external factors such as severe weather conditions in the U.S. dampening sales and geopolitical tensions disrupting operations in the Middle East due to the Israel-Hamas conflict. These challenges have further compounded Starbucks' struggles to regain its footing in key markets.
Analysts have expressed concerns about the prolonged nature of Starbucks' predicament, with Danilo Gargiulo of Bernstein highlighting the lack of clear signs of improvement amidst worsening macroeconomic and competitive dynamics, particularly in China.
Starbucks' ( NASDAQ:SBUX ) revised forecasts paint a bleak picture, with full-year comparable sales expected to range from a low single-digit decline to flat, a far cry from its previous optimistic projections of 4% to 6% growth. Similarly, the company has downgraded its per-share profit growth forecast to between flat and low-single digits, a significant departure from its earlier estimates of 15% to 20% growth.
CEO Laxman Narasimhan acknowledged the shifting consumer landscape, noting that customers are becoming more discerning in their spending habits, especially with stimulus savings largely exhausted.
The repercussions of Starbucks' struggles extend to its stock valuation, with its forward price-to-earnings multiple (P/E) trailing behind industry peers such as McDonald's and Restaurant Brands. This disparity underscores investor concerns about the company's ability to navigate the current challenges and regain its growth momentum.
Technical Outlook
Starbucks' ( NASDAQ:SBUX ) stock closed Tuesday's market trading within the oversold region with a Relative Strength Index (RSI) of 14.96. Traders ought to be cautious of a trend reversal. The stocks' daily price chart indicates a long "Bearish Harami" candle stick pattern which accentuates the bearish nature of the stock .
SBUX Short Idea - Multiple Fib extensions convergingSBUX looks set to start a wave down to around $83 after a sideways ABCDE correction:
- 1:1 extension of the move down from 16 Nov 2023 to 17 Jan 2024
- 1:1 extension of the larger move down from 1st May 2023 to 3rd Oct 2023
- $83 is also strong support from previous consolidation in 2022
Startbucks Short OpportunityIf the price go up to 99, I will sell Starbucks, we are in a bearish move, breaker block has been confirmed, It just need to take last liquidity in the Balanced Price Range to move downside.
4/30/24 - $sbux buyer into print - vrockstar4/30/24 - vrockstar - tape seems to like these non-ai disruptable names w/ px'ing power, 22x fwd EPS (and growing) seems "cheap" (not really but compared to everything else). good fcf generation. good box open potential. they sell legal drugs. net +ve result here esp seeing the stock float in a bad tape means it's haven.
Starbucks...so much coffeeNASDAQ:SBUX
Looking to long here...
ER this week
Stop on weekly close below 84
Weekly target is top of the descend TL
Things to note: coffee prices are going up, might affect margins
SBUX Starbucks Corporation Options Ahead of EarningsIf you haven`t bought the dip on SBUX:
Then analyzing the options chain and the chart patterns of SBUX Starbucks Corporation prior to the earnings report this week,
I would consider purchasing the 90usd strike price Calls with
an expiration date of 2024-6-21,
for a premium of approximately $3.15.
If these options prove to be profitable prior to the earnings release, I would sell at least half of them.
Starbucks: Ready for the descent? 🧗🏽♀️The Starbucks share price has fallen again in recent weeks and has now approached the important support level of $89.28. Primarily, we expect the turquoise-colored wave B to continue its corrective rise before starting its final descent to the green target zone between $86.38 and $68.39. Alternatively, however, it could already be working on this descent should it slide directly below support (40% likely).
Big Price Jump Expected For Tuesday A big price jump is expected Tuesday for SBUX. Based on candlestick analysis you can see at the bottom of the chart the first dashed line which is support. The green line above that is resistance which SBUX broke through today. The third green line at the 92.78 price line is the next level of resistance which SBUX has to go through in order to break out. We already had a break out today as labeled since we broke through that second line. We can expect a sharp jump in price within the first few hours of trading before it comes back down. It a second breakout does occur it will likely stay on track with the elliot wave which is a surge to $94 before the end of the week. We should expect pull back as indicated in red. The green lines that are vertical predictions while the horizontal lines are trend lines. MACD and RSI also show room to run further. Please comment your thoughts below. Follow if you like what you see!
SBUX To Test 3rd Level Of Resistance Possible Break Out?Starbucks continue to break through resistance. I was told it would not go up today by a user and they were incorrect. We had a nice 1% gain today and I am expecting SBUX due to rise again tomorrow based on the candlestick trend breaking through resistance 2. It will have no choice but to go up and test resistance 2. Even if resistance 2 isn't broken it will at least be tried. MACD is still in our favor while the triple confirm is out of our favor but I have never relied on that unless I am timing my buy ins on the minute chart. Hit play on my previous SBUX publication to see my accuracy. I am looking forward to more gains tomorrow.
Looking long on SBUX.Thank you as always for watching my video! Please feel free to like, share and comment on this video.
SBUX Sitting Above SupportStarbucks is sitting above support and could break out to resistance 1 or resistance 2 on Monday 3.11.24. MACD proves growing bullish divergence while divergence+ shows bullish divergence as well. The Kurotoga cloud shows the downward trend based on resistance but current resistance is weak and the current candles are starting to break through. I predict a 1-2% price increase on SBUX monday 3.11. Comment below your thoughts. Will SBUX break out? Or will it follow its downward trend?
Starbuck-->> Bulls back in charge<<-- Time to buy!NASDAQ:SBUX
Analysis is based on simplified Smart Money Trading Concepts.
Starbucks analysis was performed on both the Weekly Time Frame and then dialed down to the Daily.
The Weekly TF has had a change of swing structure from bearish to bullish (noted by the line with "W-x"). Then we had a pull back into the current discount zone and on the daily time frame changed from Bearish order flow to Bullish order flow.
Demand is stepping into the picture and we should see Starbucks price hit $107.66 hit within the next 40-60 days.
Trade Idea Point of Invalidation: Any break AND below above $89.09
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Reward to Risk ratios could vary between 3:1 up to greater than 15:1 depending on the instrument you are trading and the level that you enter in at.
The round trip time from entry to exit is between 40 days - 3 months.
If you are Long the Underlying stock :
4 positions or one large entry between the 62%% pullback($96.22) and the 79% pullback($93.08) would be ideal.
Exits:
1st = $107.66
2nd = $112.64
3rd = $119.10
4th = $126.11
**Split your positions between the 2 suggested exits**
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If you are trading stock options:
NO less than a 3 month expiration! This is to be able to capture the majority of the upward move.
Suggestion:
17th May $105 Call
or
17th May $100 Call
Exits:
Underlying stock price
1st = $107.66
2nd = $112.64
3rd = $119.10
4th = $126.11
If you need an options calculator, I suggest using: www.optionsprofitcalculator.com
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If you are interested in a FREE course on how I analyze the markets, let me know in the comments.
THERE IS NO CHARGE FOR AWESOMENESS
SBUX is looking bearish! 🩸perfect rejection from multiple SMA resistance/lower highs and still being held below strong trend resistance..
the volume also looks like its only sellers! break of 88.97 sends us to 71-82, we may start to bottom out around there..
break of 104.88 and we get bullish, but my bias tells me the short trigger is coming soon. lets see.. boost and follow for more! ❤️🔥
side note: I am drinking a Starbucks while i chart this morning, xD
starbuckBest buy after it takes liquidity. There is a fibo level and low volume zone to fill.
I m not sure if this strange a popular company can go so low, but if goes, fib 1.5 is really good level to buy it.
SBUX Waiting to ShortSBUX looks like it's getting heavy up here. I'm looking to short the break of the uptrend. It's currently at a 2.02% dividend which isn't great right now. I don't like trying to pick tops, but always seem to give it a go. So here's one for everyone to see. Ridicule me if you like.
SBUX Starbucks Corporation Options Ahead of EarningsIf you haven`t bought the dip on SBUX:
Then analyzing the options chain and the chart patterns of SBUX Starbucks Corporation prior to the earnings report this week,
I would consider purchasing the 96usd strike price Calls with
an expiration date of 2024-2-2,
for a premium of approximately $1.55.
If these options prove to be profitable prior to the earnings release, I would sell at least half of them.
SBUX - Becky gonna make some bucks for us !SBUX - Added a starter long here, Risk to reward seems better here.
Stop Loss - 85
Target #1 - 100 Phsyc number
Target #2 - 120
Target #3 - 130 , after a pullback to 110's
SBUX Potential Buy setupReasons for bullish bias:
- Price broke Last LH
- Bounce from strong support
Entry Level(CMP): 96.17
Stop Loss Level: 90.95
Take Profit Level 1: 101.39
Take Profit Level 2: 106.61
SBUX sitting on a key support going into Earnings ReportSBUX is sitting on a key support going into Earnings.
Confluence of two high timeframe fibs that are proven.
What happens at this zone could start a trending wave.
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Starbucks to 98 Plus After Earnings !!Financial Performance: In 2023, Starbucks’s revenue was $35.98 billion, an increase of 11.55% compared to the previous year’s $32.25 billion. Earnings were $4.12 billion, an increase of 25.69%2.
Analyst Forecast: According to 21 analysts, the average rating for SBUX stock is “Buy.” The 12-month stock price forecast is $114.35, which is an increase of 23.22% from the latest price2.
Dividend Yield: Starbucks has a dividend yield of 2.4569%1, which could be attractive to income-focused investors.
Growth Estimates: The growth estimate for the next 5 years (per annum) is 16.63%3
TP 98
$SBUX earnings play ( BULLISH )Starbucks ( NASDAQ:SBUX ) has printed a bullish divergence on the 1D timeframe.
This occurs when the price action lows create lower lows, while the RSI lows simultaneously create higher lows.
What this shows is that strength is increasing as price drops. Usually indicative of a sharp impending rally and most reliable at the bottom of a move.
NASDAQ:SBUX has been in a free fall, dropping from a high of $107 on 11/16/23 to a low of $91 on 1/17/24
This 14.7% drop over the course of the last 2 months makes seeing this signal all the more intriguing.
Entered 3/15 NASDAQ:SBUX 95c at 2.84
Looking for a retest of 12/15/23’s highs around $99, leaving us with intrinsic value of $400 and a minimum 40% return
Earnings on 1/30
Not financial advice
SbuxSbux at support level $91-89. Waiting for the reversal to the upside or to continue the downtrend to $70
