Starbucks’s 3Q15 Earnings: Key Analyst Estimates

Starbucks's 3Q15 Earnings: Must-Knows ahead of the Big Day

(Continued from Prior Part)

Starbucks 3Q15 estimates

Starbucks (SBUX) is set to release its earnings on July 23 after the market closes. Since the previous quarter’s earnings, the stock has increased by only 13%. In the previous quarter, the company met analysts’ EPS (earnings per share) estimates.

The consensus estimate for the upcoming quarter’s EPS is $0.41, which means 22% growth for the corresponding quarter in 2014.

Analyst estimates of other key financial metrics

The following are analyst estimates for 2Q15.

• Revenue is estimated to come in at $4.8 billion, a decline of ~17% year-over-year.

• EBITDA (earnings before interest, tax, depreciation, and amortization) is expected to be $936 million, which is expected to decline 21% year-over-year.

• Adjusted net income is estimated to come in at $651 million, with an EPS of $0.41.

• Same-store sales growth is expected to come in at 6.1% year-over-year.

We’ll publish a post-earnings release report, so check back after the release for more information and analysis. Apart from Starbucks, if you’re considering a broader portfolio of restaurants, you may consider the Consumer Discretionary Select Sector SPDR ETF (XLY). XLY’s portfolio holds 4% of McDonald’s, 1% of Chipotle Mexican Grill (CMG), 1.5% of Yum! Brands (YUM), and 0.3% of Darden Restaurants (DRI).

Meanwhile, to get more updates on restaurants, you can refer to our restaurant industry page.

Browse this series on Market Realist:

• Part 1 - Starbucks’s 3Q15 Earnings: Must-Knows ahead of the Big Day

• Part 2 - How Starbucks Should Benefit from Its La Boulange Closure

• Part 3 - Starbucks’s 3Q15 Earnings: Key Technology Initiatives to Watch For