LKNCY Stock Recent News

Starbucks (NASDAQ: SBUX) and Luckin Coffee stock prices have come under intense pressure this year amid rising robusta coffee prices and demand. SBUX shares crashed to a low of $88.50 on Thursday, its lowest level since October 2023.

We all want to find those elusive hypergrowth stocks that can deliver eye-popping returns year after year. Who wouldn't love doubling their money on an annual basis?

Many if not most people believe that the Street is nearly omniscient. These individuals contend that the price which the market assigned to a stock correctly reflects its current value and its short and medium-term outlook.

BEIJING, Feb. 16, 2024 (GLOBE NEWSWIRE) -- Luckin Coffee Inc. (“Luckin Coffee” or the “Company”) (OTC: LKNCY) will release its fourth quarter and full year 2023 financial results before the U.S. market open on Friday, February 23, 2024.

Investors could find themselves chasing a caffeine high going into year's end as the tech sector's strength looks to spread to other parts of the market. Undoubtedly, some coffee stocks seem overdue for a jolt as consumers look to get through the macro pressures that have hurt their purchasing power.

From Amazon.com and Google Shopping to Become and Shopzilla, there are a lot of comparison shopping websites and apps around these days. They are helping consumers save money and make informed purchase decisions.

Luckin Coffee's share price has nearly doubled since 2022, reflecting investor confidence in its turnaround post-accounting fraud. A competitive pricing strategy appears to help increase market share during the economic downturn in China. I project a +30% market share in FY 2024, with a 1-year price target of $34.72. I see moderate competition risk, though still overshadowed by a 65% upside potential, in my view.

Luckin Coffee (LKNCY) stock price will be on edge on Wednesday as investors read the tea leaves from the latest Starbucks earnings report. Shares of Luckin, the biggest Chinese coffee giant, have plunged by more than 43% from their highest point in 2023.

I often use and write about contrarian investing. That involves trying to identify stocks whose value is being greatly underestimated by the market.

Medium-cap stocks, as the title of my article states, are indeed the “Goldilocks” of equities. That's because small-cap stocks are prone to bankruptcies and thesis-shattering events, such as products that malfunction and new, ruinous competitors.