Coffee Craze causes coffee stock to soar 6,650% this year
The Stock Market's Coffee Craze While Starbucks has staged a nice recovery, the real action has been in shares of smaller outfits such as Green Mountain, Caribou, and Diedrich. Credit the K-Cup.
Despite a recession, these are hot times in the stock market for the coffee business. Shares of Green Mountain Coffee (GMCR), which reported impressive earnings July 29, are up 169% in 2009. One small coffee wholesaler, Diedrich Coffee (DDRX), is up 6,650% this year.
Even beleaguered coffee chains are bouncing back from steep declines in previous years. Starbucks (SBUX) shares have risen 87% in 2009, while second-place rival Caribou (CBOU) has seen shares quadruple in value (up 311%).