Use access key #2 to skip to page content.

TMFBlacknGold (99.00)

Time to Smell the Coffee?

Recs

3

July 28, 2011 – Comments (6) | RELATED TICKERS: JVA , GMCR

What's the deal with GMCR and JVA? I know a lot of people don't think they can keep up the growth (GMCR of course, JVA just piggy-backs), but their numbers today were pretty impressive. I think too many of us underestimate our country's addiction to coffee. GMCR looks like it is poised for more growth. The only concern would be the PE of 119! You can read through the numbers of their earnings here (I don't like SeekingAlpha, but it's just a transcript).

What do you Fools think? I don't expect to open any positions in RL, but a red-thumb on GMCR seems inevitable.

BlacknGold

6 Comments – Post Your Own

#1) On July 28, 2011 at 1:15 PM, helicopterfool (28.85) wrote:

too many shorts.  The shorts need to be exhausted before the stock will peak.

Report this comment
#2) On July 28, 2011 at 2:18 PM, DaveGruska (95.96) wrote:

After making a decent gain with RL shares of GMCR, I've tried shorting them on CAPS a number times. I have been dead wrong every time.

Seems they still have financial issues, and their inventories look out of control as well. But you've got to be in awe of the top-line growth. 

I'm respectfully bowing out of shorting GMCR anymore on CAPS (so it most likely will fall as soon as I close my short postion) :)

Report this comment
#3) On July 29, 2011 at 9:10 AM, TMFBlacknGold (99.00) wrote:

That's always how it works streeter.

Report this comment
#4) On August 25, 2011 at 11:41 AM, EnigmaDude (95.14) wrote:

I like JVA.  They have more room to grow than GMCR and seem to be in better financial shape, although much smaller.  Also they are nearly 50% owned by insiders.  The stock got a bit ahead of itself due to momentum trading but has retreated back to the $15 range.

You should also take a close look at CBOU.  They might be an even better buy than either JVA or GMCR right now.

Report this comment
#5) On September 25, 2011 at 7:48 PM, Dominiclombardo (< 20) wrote:

i think this company's shares are Overvalued.  all it is is a distribution company w/ no entry barriers whatsover. They're also playing in the Options markets. see below for a story I wrote.

http://socialresponsibleinvest.blogspot.com/

Report this comment
#6) On September 25, 2011 at 7:49 PM, Dominiclombardo (< 20) wrote:

i think this company's shares are Overvalued.  all it is is a distribution company w/ no entry barriers whatsover. They're also playing in the Options markets. see below for a story I wrote.

http://socialresponsibleinvest.blogspot.com/

Report this comment

Featured Broker Partners


Advertisement