Starbucks posted fiscal third-quarter results above estimates
Starbucks Corp (NASDAQ:SBUX) reported fiscal third-quarter earnings of 84 cents on revenue of $8.15 billion after the close yesterday, both of which topped analyst estimates. Strong U.S. sales helped offset lockdowns in China, especially as prices were raised amid inflation. No fewer than five analysts chimed in with minor price-target hikes after the event, with the highest from Deutsche Bank to $93 from $91. At last glance, SBUX is up 1.7% to trade at $85.17.
Jumping as high as $86.06, SBUX broke above the 150-day moving average for the first time since January earlier today, though the stock has since moved back below. The shares have been moving choppily higher since their May 12 two-year low of $68.39, though the stock is still down 27.6% year-to-date.
Despite calls outnumbering puts on an absolute basis, the stock's 50-day put/call volume ratio of 0.69 at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) is in the elevated 90th percentile of its annual range. This suggests puts being picked up at a much faster-than-usual rate.
Today, options volume is running at three times the intraday average. So far, 48,000 calls and 31,000 puts have crossed the tape. The weekly 8/5 88-strike call is the most active contract, followed by the August 85 call, with new positions being bought to open at the former.