So I think I lost $5K worth of puts on Starbucks. After seeing Lucking Coffee's earning reports, where they reported 88% revenue growth YoY, I assumed Starbucks' big push into China would not meet expectations. However, Starbucks reported a 51% growth in revenues in China from the same quarter last year.
Am I missing something?
All macro economic data in China is predominantly negative (massive youth unemployment, declining manufacturing, etc.) with spurts of stimulus from the CCP here and there but nothing comprehensive and significant. I know data coming out of China must be taken with a grain of salt, however, is the coffee market so big in China that Starbucks can grow even in the midst of huge competition?
RIP my puts
Any help interpreting the market would be helpful! TIA
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