Well as some of you know SBUX is one of my favorite stocks to own, clearly you can see why from the chart. Some of the fundamental reasons for the decision to purchase again after getting stopped out on my previous purchase is as follows.
Growth in EPS , increase in net income, revenue growth, good cash flow from ops and solid financial position with reasonable debt levels.
- EPS +24.4% in the most recent quarter compared to the same quarter 15'.
- Net Income growth from the same quarter one year ago has exceeded that of the S&P 500 and Hotels, Restaurants & Leisure industry average. Net income increased by +20.4% compared to the same quarter last year.
- NOI increased +38.94% compared to the same quarter last year. NOI also exceeded the industry average cash flow growth rate of 7.61%.
- Debt-to-Equity is low at 0.63 currently, also less than the industry average.
- Quick Ratio is somewhat low coming in at 0.72 (not to concerned).