Starbucks Shares Are Hot After Q3 Earnings Beat

Starbucks Corporation SBUX shares are surging after reporting a third-quarter earnings beat.

Adjusted earnings came in at 78 cents per share, beating estimates by 6 cents. Sales came in at $6.82 billion, beating estimates by $150 million.

The company also raised 2019 EPS and sales guidance.

"Starbucks delivered strong operating performance in the third quarter, further demonstrating that our ‘Growth at Scale' agenda is working," said CEO Kevin Johnson.

"Our two targeted long-term growth markets, the U.S. and China, performed extremely well across a number of measures as a result of our focus on enhancing the customer experience, driving new beverage innovation and accelerating the expansion of our digital customer relationships. Given the strong momentum across our business, we are raising our full-year financial outlook."

Highlights

• Comp stores sales were up 6% globally
• 442 net new stores opened
• Consolidated net revenues grew 8% year-over-year

Starbucks shares traded higher by 5.5% to $96.03 in Thursday's after-hours session. The stock closed at $90.98.

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