Starbucks Stock Market Value
| SBUX Stock | USD 101.51 0.83 0.82% |
| Symbol | Starbucks |
Starbucks Price To Book Ratio
Is Hotels, Restaurants & Leisure space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Starbucks. If investors know Starbucks will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Starbucks listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.25) | Dividend Share 2.32 | Earnings Share 3.31 | Revenue Per Share 31.809 | Quarterly Revenue Growth (0.03) |
The market value of Starbucks is measured differently than its book value, which is the value of Starbucks that is recorded on the company's balance sheet. Investors also form their own opinion of Starbucks' value that differs from its market value or its book value, called intrinsic value, which is Starbucks' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Starbucks' market value can be influenced by many factors that don't directly affect Starbucks' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Starbucks' value and its price as these two are different measures arrived at by different means. Investors typically determine if Starbucks is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Starbucks' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
Starbucks 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to Starbucks' stock what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of Starbucks.
| 10/29/2024 |
| 11/28/2024 |
If you would invest 0.00 in Starbucks on October 29, 2024 and sell it all today you would earn a total of 0.00 from holding Starbucks or generate 0.0% return on investment in Starbucks over 30 days. Starbucks is related to or competes with Chipotle Mexican, Dominos Pizza, Yum Brands, Wendys, McDonalds, Wingstop, and Shake Shack. Starbucks Corporation, together with its subsidiaries, operates as a roaster, marketer, and retailer of specialty coffee... More
Starbucks Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure Starbucks' stock current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess Starbucks upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 1.15 | |||
| Information Ratio | (0.05) | |||
| Maximum Drawdown | 7.49 | |||
| Value At Risk | (2.04) | |||
| Potential Upside | 2.01 |
Starbucks Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Starbucks' investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Starbucks' standard deviation. In reality, there are many statistical measures that can use Starbucks historical prices to predict the future Starbucks' volatility.| Risk Adjusted Performance | 0.0398 | |||
| Jensen Alpha | 0.0056 | |||
| Total Risk Alpha | (0.15) | |||
| Sortino Ratio | (0.05) | |||
| Treynor Ratio | 0.1293 |
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 Backtested Returns
At this stage we consider Starbucks Stock to be very steady. Starbucks owns Efficiency Ratio (i.e., Sharpe Ratio) of 0.0995, which indicates the firm had a 0.0995% return per unit of risk over the last 3 months. We have found twenty-nine technical indicators for Starbucks, which you can use to evaluate the volatility of the company. Please validate Starbucks' Semi Deviation of 1.07, coefficient of variation of 2155.65, and Risk Adjusted Performance of 0.0398 to confirm if the risk estimate we provide is consistent with the expected return of 0.13%. Starbucks has a performance score of 7 on a scale of 0 to 100. The entity has a beta of 0.4, which indicates possible diversification benefits within a given portfolio. As returns on the market increase, Starbucks' returns are expected to increase less than the market. However, during the bear market, the loss of holding Starbucks is expected to be smaller as well. Starbucks right now has a risk of 1.29%. Please validate Starbucks downside variance, and the relationship between the total risk alpha and daily balance of power , to decide if Starbucks will be following its existing price patterns.
Auto-correlation | 0.25 |
Poor predictability
Starbucks has poor predictability. Overlapping area represents the amount of predictability between Starbucks time series from 29th of October 2024 to 13th of November 2024 and 13th of November 2024 to 28th of November 2024. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of Starbucks price movement. The serial correlation of 0.25 indicates that over 25.0% of current Starbucks price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.25 | |
| Spearman Rank Test | 0.24 | |
| Residual Average | 0.0 | |
| Price Variance | 2.12 |
Starbucks lagged returns against current returns
Autocorrelation, which is Starbucks stock's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting Starbucks' stock expected returns. We can calculate the autocorrelation of Starbucks returns to help us make a trade decision. For example, suppose you find that Starbucks has exhibited high autocorrelation historically, and you observe that the stock is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values |
| Timeline |
Starbucks regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If Starbucks stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Starbucks stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Starbucks stock over time.
Current vs Lagged Prices |
| Timeline |
Starbucks Lagged Returns
When evaluating Starbucks' market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Starbucks stock have on its future price. Starbucks autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, Starbucks autocorrelation shows the relationship between Starbucks stock current value and its past values and can show if there is a momentum factor associated with investing in Starbucks.
Regressed Prices |
| Timeline |
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Analyzing currently trending equities could be an opportunity to develop a better portfolio based on different market momentums that they can trigger. Utilizing the top trending stocks is also useful when creating a market-neutral strategy or pair trading technique involving a short or a long position in a currently trending equity.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.