S&P Equity Research has released some interesting notes on Starbucks (SBUX: sentiment, chart, options) , now that the coffee king announced plans to shutter 600 stores during the next year. Analyst Mark Basham reiterated a "strong buy" opinion on the shares, while simultaneously slashing his price target by $3 to $24. Additionally, Basham lowered his 2008 earnings-per-share estimate from 85 cents to 65 cents, and raised his fiscal 2009 earnings estimate from $1.00 to $1.05 per share. He expects the company to take net charges this year, but record higher profits next year, as a result of the store closings.

Meanwhile, S&P Ratings Services placed Starbucks' "BBB+" long-term corporate credit and "A-2" short-term ratings on CreditWatch negative. Analyst Jackie Oberoi said that the research firm "will reassess Starbucks' business risk profile in light of lower consumer spending, the company's revised growth plans, and the increased competition from other coffee retailers and quick-service restaurants."

As we head toward midday, SBUX is holding close to the break-even line. The stock continues to struggle underneath double-barreled resistance from its 10-week and 20-week moving averages, which have ushered SBUX 23% lower year-to-date.

Currently, the most active option on the coffee chain is the July 16 put, which has traded volume of 3,614 on open interest of 7,710. At last check, this contract is narrowly in the money.