Starbucks (SBUX) Stock Lower After Quarterly Results
NEW YORK (TheStreet) -- Shares of Starbucks (SBUX) - Get Starbucks Corporation Report were falling 2.7% to $75.24 Friday after missing analysts' estimates for revenue in the fiscal fourth quarter.
The coffeehouse operator reported earnings of 74 cents a share for the fiscal fourth quarter, in-line with analysts' estimates. Revenue grew 10% year over year to $4.18 billion for the quarter, compared to analysts' estimates of $4.23 billion for the quarter.
Same-store sales grew 5% for the fourth quarter, below analysts' estimates of 6% growth.
Following the third-quarter results Starbucks CEO Howard Schultz announced plans for a food and drink delivery service the company will launch in select markets in 2015.
TheStreet Recommends
TheStreet Ratings team rates STARBUCKS CORP as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate STARBUCKS CORP (SBUX) a BUY. This is driven by a number of strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, increase in net income, good cash flow from operations, growth in earnings per share and largely solid financial position with reasonable debt levels by most measures. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself."
You can view the full analysis from the report here: SBUX Ratings Report
