Piper Jaffray Reiterates Bullish View on Starbucks (SBUX) Following Results

Piper Jaffray analyst, Nicole Miller Regan, reiterated her Overweight rating and $72 PT after Starbucks Starbucks (NASDAQ: SBUX) reported earnings that beat consensus by a penny and shares fell 5% in the aftermarket.

Total revenues increased ~12% to $5.4 billion, based on strong traffic driven same-store sales results globally. Same-store sales in the Americas were +9% (5% ticket/4% traffic), +1% in EMEA (1% traffic), and 5% in CAP (1% ticket/4% traffic). operating earnings increased ~15% to $0.46 per share, a penny ahead of consensus expectations. Fiscal 1Q16 results were driven by global comps of +8% (based on 4% transaction growth).

No change to Overweight rating and $72 price target based on 18x FY17E EBITDA.

For an analyst ratings summary and ratings history on Starbucks click here. For more ratings news on Starbucks click here.

Shares of Starbucks closed at $59.03 yesterday.

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