Tuesday, October 2, 2012

When Green Mountain Coffee goes below $30, watch that one



Stock Talk:

A stock I have watched on and off over the years is GMCR. I don't have a lot of time today to expouse on it.    All I'm gonna say is when GMCR is trading below $30 a share --  put a watch on it.

I will offer my view. I don't agree with short Einhorn.

People are very finicky about their coffee.  I brought the wrong brand home once and took a lot of grief over it.  Looking at even the low estimates of earnings puts GMCR  much higher than where it is now trading in the 20's. Competition on K cups may not be as much of an impact as the shorts have made out and there's a new Riva machine coming.  GMCR is a volatile stock. Thinking about some call options as a lower risk way to play the volatility. GMCR is undervalued on a fundamental basis in my opinion.

Market timing is not always very easy though. In any case, I have a watch on GMCR.

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ALL in my humble opinion, scroll down and read more..

This site does NOT make Buy / Sell recommendations.
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