From a quantitative perspective, Starbucks is overbought at current levels from a TRADE perspective. From a fundamental perspective, it remains one of our favorite names in the space.
Keith signaled to us this morning that Starbucks is overbought from a TRADE perspective at current levels, trading up as it is more than 6% today following yesterday’s earnings. Clearly, the strength of the price action Starbucks in the face of an ugly tape shows that investors are confidence that the back-end loading of FY12 EPS growth is not a cause for concern. We've liked this name for a long time and remain positive on the stock.