Starbucks Stock Probability of Future Stock Price Finishing Under 97.42
| SBUX Stock | USD 97.42 0.40 0.41% |
Starbucks |
Starbucks Target Price Odds to finish below 97.42
The tendency of Starbucks Stock price to converge on an average value over time is a known aspect in finance that investors have used since the beginning of the stock market for forecasting. However, many studies suggest that some traded equity instruments are consistently mispriced before traders' demand and supply correct the spread. One possible conclusion to this anomaly is that these stocks have additional risk, for which investors demand compensation in the form of extra returns.
| Current Price | Horizon | Target Price | Odds to move below current price in 90 days |
| 97.42 | 90 days | 97.42 | about 50.42 |
Based on a normal probability distribution, the odds of Starbucks to move below current price in 90 days from now is about 50.42 (This Starbucks probability density function shows the probability of Starbucks Stock to fall within a particular range of prices over 90 days) .
Given the investment horizon of 90 days Starbucks has a beta of 0.31. This usually implies as returns on the market go up, Starbucks average returns are expected to increase less than the benchmark. However, during the bear market, the loss on holding Starbucks will be expected to be much smaller as well. Additionally Starbucks has a negative alpha, implying that the risk taken by holding this instrument is not justified. The company is significantly underperforming the Dow Jones Industrial. Starbucks Price Density |
| Price |
Predictive Modules for Starbucks
There are currently many different techniques concerning forecasting the market as a whole, as well as predicting future values of individual securities such as Starbucks. Regardless of method or technology, however, to accurately forecast the stock market is more a matter of luck rather than a particular technique. Nevertheless, trying to predict the stock market accurately is still an essential part of the overall investment decision process. Using different forecasting techniques and comparing the results might improve your chances of accuracy even though unexpected events may often change the market sentiment and impact your forecasting results.Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Starbucks' price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Starbucks Risk Indicators
For the most part, the last 10-20 years have been a very volatile time for the stock market. Starbucks is not an exception. The market had few large corrections towards the Starbucks' value, including both sudden drops in prices as well as massive rallies. These swings have made and broken many portfolios. An investor can limit the violent swings in their portfolio by implementing a hedging strategy designed to limit downside losses. If you hold Starbucks, one way to have your portfolio be protected is to always look up for changing volatility and market elasticity of Starbucks within the framework of very fundamental risk indicators.α | Alpha over Dow Jones | -0.05 | |
β | Beta against Dow Jones | 0.31 | |
σ | Overall volatility | 2.24 | |
Ir | Information ratio | -0.1 |
Starbucks Alerts and Suggestions
In today's market, stock alerts give investors the competitive edge they need to time the market and increase returns. Checking the ongoing alerts of Starbucks for significant developments is a great way to find new opportunities for your next move. Suggestions and notifications for Starbucks can help investors quickly react to important events or material changes in technical or fundamental conditions and significant headlines that can affect investment decisions.| Starbucks has high financial leverage indicating that it may have difficulties to generate enough cash to satisfy its financial obligations | |
| Starbucks currently holds 25.8 B in liabilities with Debt to Equity (D/E) ratio of 807.4, indicating the company may have difficulties to generate enough cash to satisfy its financial obligations. Starbucks has a current ratio of 0.75, indicating that it has a negative working capital and may not be able to pay financial obligations when due. Note, when we think about Starbucks' use of debt, we should always consider it together with its cash and equity. | |
| Over 81.0% of Starbucks shares are owned by institutional investors | |
| On 29th of November 2024 Starbucks paid $ 0.61 per share dividend to its current shareholders | |
| Latest headline from gurufocus.com: Starbucks Adjusts Employee Raises Amid Financial Challenges |
Starbucks Price Density Drivers
Market volatility will typically increase when nervous long traders begin to feel the short-sellers pressure to drive the market lower. The future price of Starbucks Stock often depends not only on the future outlook of the current and potential Starbucks' investors but also on the ongoing dynamics between investors with different trading styles. Because the market risk indicators may have small false signals, it is better to identify suitable times to hedge a portfolio using different long/short signals. Starbucks' indicators that are reflective of the short sentiment are summarized in the table below.
| Common Stock Shares Outstanding | 1.1 B | |
| Cash And Short Term Investments | 3.5 B |
Starbucks Technical Analysis
Starbucks' future price can be derived by breaking down and analyzing its technical indicators over time. Starbucks Stock technical analysis helps investors analyze different prices and returns patterns as well as diagnose historical swings to determine the real value of Starbucks. In general, you should focus on analyzing Starbucks Stock price patterns and their correlations with different microeconomic environments and drivers.
Starbucks Predictive Forecast Models
Starbucks' time-series forecasting models is one of many Starbucks' stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models are widely used for non-stationary data. Non-stationary data are called the data whose statistical properties, e.g., the mean and standard deviation, are not constant over time, but instead, these metrics vary over time. This non-stationary Starbucks' historical data is usually called time series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the stock market movement and maximize returns from investment trading.
Things to note about Starbucks
Checking the ongoing alerts about Starbucks for important developments is a great way to find new opportunities for your next move. Our stock alerts and notifications screener for Starbucks help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.
| Starbucks has high financial leverage indicating that it may have difficulties to generate enough cash to satisfy its financial obligations | |
| Starbucks currently holds 25.8 B in liabilities with Debt to Equity (D/E) ratio of 807.4, indicating the company may have difficulties to generate enough cash to satisfy its financial obligations. Starbucks has a current ratio of 0.75, indicating that it has a negative working capital and may not be able to pay financial obligations when due. Note, when we think about Starbucks' use of debt, we should always consider it together with its cash and equity. | |
| Over 81.0% of Starbucks shares are owned by institutional investors | |
| On 29th of November 2024 Starbucks paid $ 0.61 per share dividend to its current shareholders | |
| Latest headline from gurufocus.com: Starbucks Adjusts Employee Raises Amid Financial Challenges |
Additional Tools for Starbucks Stock Analysis
When running Starbucks' price analysis, check to measure Starbucks' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Starbucks is operating at the current time. Most of Starbucks' value examination focuses on studying past and present price action to predict the probability of Starbucks' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Starbucks' price. Additionally, you may evaluate how the addition of Starbucks to your portfolios can decrease your overall portfolio volatility.