Starbucks Corp (SBUX) – Pumpkin Spice is Back! – September 15th, 2020

The bullish DailyPlay for Tuesday, September 15th is Starbucks Corp (SBUX). SBUX has experienced a 7.5% gain over the past month and its 1M and 6M trends turned bullish on August 5th and August 10th respectively. 

Fundamental View

  • Lower commodity input costs (coffee) is expected to aid in margin recovery from 6.9% in 2020 to 16% in 2021
  • Gradual reopening of stores globally with digital partnership with Alibaba to drive China growth. 
  • Earnings Oct 29th in 45 days

Technical View

  • Price has pulled back to $84 area of support and has bounced higher from this level.
  • Strong relative strength, technical score (8 out of 10)
  • Bullish 1M and 6M trend