Shares of the Seattle-based coffee chain marked a 3.63% gain on the day's trading, closing with a 3.03% gain on the holiday-shortened week.
Whether that trend continues is up to a matter of perspective.
The company's strong earnings bolstered by strong digital growth, rewards program acceptance, and surprisingly positive Chinese numbers bade bulls welcome to the stock.
"Our streamlined efforts over the past six quarters are paying off by allowing us to bring more focus and discipline to our three strategic priorities of accelerated growth and our targeted markets of U.S. and China, expanding global reach of the Starbucks brand, leveraging the global coffee alliance with Nestlé (NSRGY) and increasing shareholder returns," CEO Kevin Johnson said highlighting the keys to the earnings success.
The company's ability to navigate both those consumer shifts and difficult macroeconomic environment was encouraging to analysts.
"Starbucks has been a pioneer among retail and restaurant companies in navigating changes in consumer behavior caused by demographic shifts and technology disruptions," Stifel analyst Chris O'Cull said. "The company has reinvested in core equities, expanded usage through new products, and integrated e-commerce into its global store network, all of which have contributed to positive consumer sentiment and greater spend per visit."
The consensus among analysts polled by FactSet remains a "Buy" on the stock.
Action Alerts Portfolio Manager Jim Cramer was a bull as well, noting he thinks that shares could hit $72 per share, a still significant premium on the company's current share price.
To hear Cramer's take on the company's trajectory and its much-touted technology efforts, click here.
Not all were so impressed.
"The market might be happy to hear that Starbucks beat estimates for the first quarter, but I think these underlying issues warrant some addressing," Real Money contributor Dave Butler commented. "I certainly don't think it's a stock primed for large scale growth in the near future."
He added that the company's margin movement was uninspiring.
Further, the company's growth targets for China remain ambitious considering the road blocks in the way.
"We expect China performance to remain choppy given the increasingly challenging operating environment, which creates heightened risk as the stock's valuation already appears disconnected from its underlying growth rates," BMO Capital Markets analyst Andrew Strelzik said in a client note.
A lack of resolution to trade war, which was noted as "miles and miles away" by Commerce Secretary Wilbur Ross, adds uncertainty.
Lastly, the chart action was not supremely supportive of a sustained run for the stock.
"The bulls will see the Pitchfork, the Money Flow, and a possible (not yet) completion of a classic cup-and-handle formation," Stephen "Sarge" Guilfoyle said in his chart analysis. "The bears will see triple-top resistance at $68 that finds Fibonacci support at $60. Either way, $68 is the battleground."
"While I love coffee, I am not at all that fond of Starbucks coffee," he added.
On the Sidelines
Given the uncertainty around the price target and the no-man's land the stock occupies on the chart, many felt more comfortable on the sidelines.
Wedbush analyst Nick Setyan was one such fence-sitter.
"[We] remain sidelined on valuation," he said. "While we continue to see little risk to near- and medium-term expectations, we also do not expect near-term drivers of positive revisions to materialize."
11 analysts surveyed by FactSet joined along, arguing that shares are likely perfectly priced at this point.
"Despite solid momentum, we remain uncertain about sustainability and believe the stock is priced with little room for error," BMO's Strelzik concluded. "We reiterate our Market Perform and see better risk/reward elsewhere in restaurants."
Shares have turned slightly downward shortly after market close.