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Fly News Breaks for September 18, 2018
SBUX
Sep 18, 2018 | 07:27 EDT
Wedbush analyst Nick Setyan told investors in a research note that recent checks are pointing to Starbucks' U.S. SSS growth tracking in the mid-2% range for Q4, slightly below the 2.8% consensus. While the analyst says a 3% comp in Americas "is possible," a rounded-down 2% comp "may be just as likely" particularly due to the adverse weather in the mid-Atlantic. He views new digital initiatives, including the ability to take advantage of mobile pay without being a loyalty member, as an incremental 1%-2% SSS growth driver in FY19. While he no longer sees growing risks to lowered expectations through FY19, Setyan also does not expect drivers of positive revisions to materialize, and maintains a Neutral rating and $53 price target.
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