October 27th 2024 – The Seattle global coffeehouse Starbucks, exhibits a positive medium-term trend in its US listed share price, reports Trend Intelligence, as current price ($97) trends some 40% higher than its May 2022 lows of $69.
Trend’s Analysis (click chart to expand): In our Starbucks Corporation chart, Trend Intelligence uses its M* Momentum Indicator to report a positively trending M* line, above both white and blue signal lines, and above the critical zero cutoff line. This is, and has shown over time to be, a positive trend signal.
In addition to our M* indicator, price currently trades above all 3 of Trend’s moving averages and our Japanese Cloud indicator, shaded in pink.
The combination of all signals corroborates Trend’s positive medium-term trend rating on Starbucks shares, as we project continued positive moves in the share price in future weeks and months ahead.
Downside Sentiment: 4 days ago, Starbucks suspended its financial guidance for 2025 as it unexpectedly released results that showed a decline in revenue and a sharp drop in quarterly earnings. The company said that its global sales tumbled by 7% between July and September. The downturn was more dramatic in China, where sales fell 14% for the same period, reports the Financial Times.
Upside Sentiment: In response to recent financial challenges, new CEO Brian Niccol has promised to simplify Starbucks’ overly complex menu, also saying that he would review pricing to ensure that ensure that “Every customer feels that Starbucks is worth it every single time they visit,” reports BBC News.
Click here to access Trend’s complete Starbucks research report.
Authored by: Trend Intelligence, London
