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Buzz Stocks: Starbucks, The Home Depot, Cheetah Mobile

Today's stocks to watch include Starbucks Corporation (NASDAQ:SBUX), Home Depot Inc (NYSE:HD), and Cheetah Mobile Inc (ADR) (NYSE:CMCM)

May 19, 2015 at 9:24 AM
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U.S. stocks are looking to extend their record-breaking pace, with futures pointed higher this morning. Among the equities in focus are coffee maker Starbucks Corporation (NASDAQ:SBUX), retail behemoth Home Depot Inc (NYSE:HD), and mobile Internet firm Cheetah Mobile Inc (ADR) (NYSE:CMCM).

  • SBUX is getting a lift ahead of the open, with the shares adding 0.7% after the company announced a partnership with streaming music service Spotify to offer a rewards program to customers. On the charts, Starbucks Corporation has been strong, adding 24.8% in 2015 to close yesterday at $51.18. What's more, the shares hit a record peak of $52.09 on April 24, following an upbeat earnings report. Analysts better be on the lookout. If SBUX keeps gaining, it may call for some price-target hikes, as the security's current average 12-month price target of $54.80 is on the verge of being toppled.

  • The Street's responding positively to HD's first-quarter results, as the shares have added 1.9% in electronic trading. Like SBUX, the equity has been impressive on the charts -- last night's close at $114.33 has the shares nearly 50% higher over the past year. Also, Home Depot Inc hit an all-time high of $117.99 as recently as March 20. The stock may be in store for some bullish analyst attention, considering nine of the 19 brokerage firms with coverage on the blue chip say it's only a "hold."

  • CMCM is set to begin the day with a 0.2% lead, following an encouraging first-quarter earnings report. Since the start of the year, the stock has nearly doubled, settling at $30.04 yesterday -- just a chip-shot from Friday's record high of $30.84 -- yet short interest remains elevated. In fact, it would take bears over six sessions to buy back the 7.7 million CMCM shares sold short, at the equity's average trading pace. It looks like some of the weaker bearish hands may be throwing in the towel, though, as short interest on Cheetah Mobile Inc fell over 22% during the two most recent reporting periods.
 

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