Starbucks (Nasdaq: SBUX ) is expected to report Q2 earnings on April 25. Here's what Wall Street wants to see:
The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Starbucks's revenues will grow 12.2% and EPS will grow 20.0%.
The average estimate for revenue is $3.59 billion. On the bottom line, the average EPS estimate is $0.48.
Last quarter, Starbucks notched revenue of $3.80 billion. GAAP reported sales were 11% higher than the prior-year quarter's $3.44 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Last quarter, EPS came in at $0.57. GAAP EPS of $0.57 for Q1 were 14% higher than the prior-year quarter's $0.50 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the preceding quarter, gross margin was 57.3%, 80 basis points better than the prior-year quarter. Operating margin was 15.2%, 30 basis points better than the prior-year quarter. Net margin was 11.4%, 30 basis points better than the prior-year quarter.
The full year's average estimate for revenue is $14.91 billion. The average EPS estimate is $2.17.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 6,695 members out of 8,328 rating the stock outperform, and 1,633 members rating it underperform. Among 2,286 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 2,099 give Starbucks a green thumbs-up, and 187 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Starbucks is outperform, with an average price target of $59.39.
With hundreds of companies out there vying with Starbucks for shoppers' dollars, strong brands matter, and they can provide growth for even boring, mature companies -- as long as they're the right ones. That's why we've compiled a special report on "3 American Companies Set to Dominate the World." Click here for instant access to this free report.
- Add Starbucks to My Watchlist.