Shares of Starbucks Corp. (NASDAQ: SBUX) were downgraded by analysts at Zacks Investment Research in a note to their investors today. With a rating of Sell on the stock, Starbucks Corp. has a 52-week high of $64.00. A number of other analysts have commented on the stock recently, and Starbucks Corp. has earned a consensus one-year price target of $66.43, higher than the opening price of $53.58. Downgrades are more likely when analysts believe that the future prospects for the security have diminished from the original recommendation, usually because of a considerable and fundamental change in the company’s procedures, future outlook or industry.
The Fed stood pat on interest rates on Wednesday, helping stocks to mostly higher levels but Chairwoman Janet Yellen indicated an interest rate hike is likely by year’s end
On Wednesday, the S&P 500 SPX, +1.09% ended 1.1% higher, while the Dow DJIA, +0.90% jumped by 0.9%, or 164 points, as each exchange finished in positive territory for a second consecutive day.
The tech-heavy Nasdaq Composite COMP, +1.03% tacked on 1% and scored a record closing high.
S&P 500 futures ESZ6, +0.36% were up 6.55 points, or 0.3%, to 2,162.75 early Thursday, while Dow Jones Industrial Average futures YMZ6, +0.37% rose 58 points, or 0.3%, to 18,276. Nasdaq-100 futures NQZ6, +0.39% gained 16.25 points, or 0.3%, to 4,866.25.
Yesterday Starbucks Corp. (NASDAQ: SBUX) shares last traded at $53.98, which represents a spike of $0.68 from the previous closing price. Opening at $53.58, they varied from $53.28 and $54.03 throughout the day.
Starbucks Corp. (NASDAQ: SBUX) currently has a market cap of 79.17B.
The stock’s average daily volume is 9,061,220 shares out of a total float 1,427,104,000 and some 9,213,889 shares crossed the trading desk yesterday, above the average. Considerable volume aggregation by institutional investors may be on the horizon as the combination of substantial increases in trading volume and price inflation can be indicative components.
However, a single day of high volume buy side trading is not enough to determine a trend. As such, market traders will continue to watch for institutional sponsorship as a cue that financial institutions are moving forward.
Institutional sponsorship simply refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.
These professional investors have substantial teams of analysts researching thousands of stocks. So watching their interests is a good way to make sure you are buying the right stocks.
Traders are able to make make educated trades when they follow the activity of professional investors.
Trades for Starbucks Corp. (NASDAQ: SBUX) have ranged from $52.63 – 64.00, and the stock now has a 50-day MA of $55.42 and 200-day MA of $56.82. Today’s last price is 0.16% under the 52 week high of $64.00.
Indeed, earnings growth is among the most crucial things to look at in regards to stock investing and, accordingly, investors watch for companies that have raised their earnings by at least 25% for 3 consecutive years.
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