Is It Right Time to Be Bearish on Starbucks Corporation (SBUX), Guess’, Inc. (GES)?

    The shares of Starbucks Corporation (NASDAQ:SBUX) has been pegged with a rating of Buy by Goldman in its latest research note that was published on July 29th, 2019. The research company has also assigned a $110 price target. Goldman wasn’t the only research firm that published a report of Starbucks Corporation, with other equities research analysts also giving their opinion on the stock. Robert W. Baird advised investors in its research note published on July 29th, 2019, to Neutral the SBUX stock while also putting a $98 price target. The stock had earned Neutral rating from JP Morgan when it published its report on July 29th, 2019. That day the JP Morgan set price target on the stock to $91. The stock was given Market Perform rating by Telsey Advisory Group in its report released on July 26th, 2019, the day when the price target on the stock was placed at $90. Credit Suisse was of a view that SBUX is Outperform in its latest report on June 25th, 2019 while giving it a price target of $92. Evercore ISI thinks that SBUX is worth In-line rating. This was contained in the firm’s report on June 12th, 2019.

    Amongst the analysts that rated the stock, 1 have recommended investors to sell it, 18 believe it has the potential for further growth, thus rating it as Hold while 7 advised investors to purchase the stock. The consensus currently stands at a Hold while its average price target is $95.68. The price of the stock the last time has raised by 82.43% from its Week high price while it is raised higher than its 52-Week low price. A look at the stock’s other technical shows that its 14-day RSI now stands at 57.45.

    The shares of the company dipped by -1.07% during the trading session on Tuesday, reaching a low of $95.59 while ending the day at $95.63. During the trading session, a total of 6.78 million shares were traded which represents a 13.13% incline from the average session volume which is 7.80M shares. SBUX had ended its last session trading at 96.66. Starbucks Corporation currently has a market cap of $113.29B, while its P/E ratio stands at 33.84, while its P/E earnings growth sits at 4.35, with a beta of 0.55. SBUX 52-week low price stands at $52.42 while its 52-week high price is $99.72.

    The company in its last quarterly report recorded $0.78 earnings per share which is above the $0.72 predicted by most analysts. The Starbucks Corporation generated $6,823.00 million in revenue during the last quarter, which is slightly higher than the $6,674.75 million predicted by analysts. In the second quarter last year, the firm recorded $0.60 earnings per share. Compared to the same quarter last year, the firm’s revenue was up by 23.08%. Starbucks Corporation has the potential to record 2.83 EPS for the current fiscal year, according to equities analysts.

    Investment analysts at Telsey Advisory Group published a research note on April 23rd, 2019 where it informed investors and clients that Guess’, Inc. (NYSE:GES) is now rated as Market Perform. Their price target on the stock stands at $19. Robert W. Baird also rated GES as Downgrade on July 29th, 2019, with its price target of $8 suggesting that GES could surge by 34.84% from its current share price. Even though the stock has been trading at $14.53/share, analysts expect it to surge higher by 0.89% to reach $22.50/share. It started the day trading at $14.91 and traded between $14.16 and $14.66 throughout the trading session.

    A look at its technical shows that GES’s 50-day SMA is 15.69 while its 200-day SMA stands at 19.06. The stock has a high of $26.95 for the year while the low is $13.34. The company’s P/E ratio currently sits at 75.96, while the P/B ratio is 2.14. At the moment, only of Guess’, Inc. shares were sold short. The company’s average trading volume currently stands at 2.07M shares, which means that the short-interest ratio is just 5.22 days. Over the past seven days, the company moved, with its shift of -5.05%. Looking further, the stock has dropped -18.69% over the past 90 days while it lost -31.43% over the last six months.

    The change in the stock’s fortunes has led to several institutional investors altering their holdings of the stock. Fidelity Management Research Co sold more GES shares, decreasing its portfolio by -8.66% during the last quarter. This move now sees Fidelity Management Research Co selling -1,001,987 shares in the last quarter, thus it now holds 10,573,266 shares of GES, with a total valuation of $178,159,532. BlackRock Fund Advisors meanwhile sold more GES shares in the recently filed quarter, changing its stake to $122,851,834 worth of shares. Dimensional Fund Advisors LP followed the path by decreasing its GES portfolio by -7.57% in the quarter. This means that Dimensional Fund Advisors LP sold -482,313 shares in the last quarter and now controls 5,890,726 shares of the GES stock, with the valuation hitting $99,258,733.

    Similarly, SSgA Funds Management Inc increased its Guess’, Inc. shares by +1.44% during the recently filed quarter. After buying 27,134 shares in the last quarter, the firm now controls 1,917,682 shares of Guess’, Inc. which are valued at $32,312,942. In the same vein, Goldman Sachs Asset Management LP increased its Guess’, Inc. shares by during the most recent reported quarter. The firm bought 1,289,890 shares during the quarter which increased its stakes to 1,834,175 shares and is now valued at $30,905,849. Following these latest developments, around 0.80% of Guess’, Inc. stocks are owned by institutional investors and hedge funds.