Here comes Starbucks...
- Starbucks is set to report its third-quarter results after Thursday's closing bell.
- Analysts surveyed by Bloomberg are expecting earnings of $0.60 a share on revenue of $6.27 billion.
- UBS said the focus for the results will be on sales in the US and China, as well as guidance.
- Watch Starbucks trade in real time here.
Starbucks is set to report third-quarter results after Thursday's closing bell.
Here are what analysts are expecting, according to Bloomberg:
- Earnings per share: $0.60
- Revenue: $6.27 billion
Shares faced a huge selloff in June when the company lowered its third-quarter same-store-sales growth forecast to 1% from its previous estimate of 3%-5%. The coffee giant also said it would close roughly 150 underperforming US stores.
Ahead of the results, UBS analyst Dennis Geiger said the focus for Starbucks' earnings are the company's performance in the US and China markets, as well as its guidance.
"Primary focus for earnings on November 1 will be whether US/Americas comparable sales returned to 3% and if the momentum is sustainable," Geiger said in a note sent out to clients on Wednesday. "We model 3% F4Q Americas same-store sales, including 3% ticket and flat traffic."
He added: "For China, we don't believe same-store sales are as bad as feared(worse than F3Q's -2%) and we think FY19 expectations are low."
Geiger has a "buy" rating and a $62 price target on Starbucks - 5% above where shares were trading on Thursday.
Starbucks was up 2% this year.
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