Earnings: Q3 profits of $.27 vs. $.29 consensus and $.20 in Q3 last year. Profits jumped 35% Year-over-Year.

Revenue: Increased 9% Year-over-Year at $2.61 Billion vs. $2.55 Billion consensus, breezing by expectations.

Howard Schultz, Starbucks (SBUX) Chairman, President and CEO, said, “”I’m particularly pleased to report significant Q3 increases in store traffic…”

Comment: Shares of Starbucks (NYSE: SBUX) are trading down over 2% following the company’s earnings release after-the-bell, trading at $24.55 per share, compared to today’s closing price of $25.17 per share.

As you can see above, Starbucks (SBUX) is trading between its 50-day and 200-day moving price averages, very indicative of a common trading zone in the current economic environment. SBUX proved to be picking up steam for comparable same stores sales with a 9% uptick and is seeing optimism for its distributed beverage line (i.e. mini double-shot espresso cans and other flavored drinks). Picking up shares of SBUX during the recession proved smart for any savvy investor as the stock has doubled in over a year’s time. Starbucks is planning to undergo an investment period of capital expenditures once again to kickstart future growth. Today, investors and traders were unhappy with the tighter outlook SBUX executives offered for the remainder of the year. However, if SBUX can continue to deliver on their new product mix and the success of their breakfast offering, you may want to consider SBUX shares on pullbacks as a way to ride a potentially positive earnings surprise down the road. In the meantime, grab an iced beverage as the summer continues to heat up…

For more detailed information on the Starbucks earnings release, visit here.

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Disclosure: No holdings in SBUX, but adding a shot of espresso to finish out the day…

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