Summary:
- Starbucks (SBUX, Financial) shares currently trade below their intrinsic value, hinting at a potential buying opportunity.
- With a forecasted profit surge of 45% over the coming years, Starbucks presents an attractive growth story.
- Wall Street analysts see a promising upside, with price targets suggesting significant value potential.
Starbucks: Analyzing the Intrinsic Value
Starbucks' (SBUX) stock is currently trading at a price lower than its intrinsic value of $116.05. This disparity presents a promising buying opportunity for savvy investors. The coffee giant is projected to witness a 45% profit increase over the upcoming years. This growth potential is not yet fully reflected in the present market valuation, presenting an opportunity for those looking to capitalize on Starbucks' expansion.
Wall Street Analysts Forecast
The 31 analysts covering Starbucks Corp (SBUX, Financial) provide a one-year average price target of $104.36. With estimates ranging from a high of $125.00 to a low of $76.00, the average target indicates a potential upside of 22.16% from the current trading price of $85.43. Investors can delve deeper into these projections by visiting the Starbucks Corp (SBUX) Forecast page.
The collective recommendation from 39 brokerage firms currently stands at 2.5 for Starbucks Corp (SBUX, Financial), signifying an "Outperform" rating. This rating is part of a scale where 1 represents a Strong Buy and 5 a Sell.
Understanding Starbucks' GF Value
GuruFocus estimates Starbucks' (SBUX, Financial) GF Value at $106.29 for the coming year, suggesting a potential upside of 24.42% from its current price of $85.43. The GF Value reflects the stock's fair trading price, evaluated using historical trading multiples, past business growth, and future performance forecasts. For more detailed insights, investors can explore the Starbucks Corp (SBUX) Summary page.
