Tuesday, June 17, 2014

Hot Logistics Companies To Buy For 2015

Hot Logistics Companies To Buy For 2015: Green Mountain Coffee Roasters Inc.(GMCR)

Green Mountain Coffee Roasters, Inc. engages in the specialty coffee and coffee maker business. The company sources, produces, and sells approximately 200 varieties of coffee, cocoa, teas, and other beverages in K-Cup portion packs and coffee in traditional packaging, including whole bean and ground coffee selections in bags and ground coffee in fractional packs for use in at-home (AH) and away-from-home (AFH). It sells its products primarily in North America through supermarkets, club stores, and convenience stores; in restaurants and hospitality; and to office coffee distributors, as well as directly to consumers through its Website. The company also manufactures gourmet single-cup brewing systems and brewing equipment. In addition, it sells AH single-cup brewers; accessories; and coffee, tea, hot cocoa, and other beverages in K-Cup portion packs, as well as offers other licensed roasters to retailers, department stores, and mass merchandisers. Further, the company sells AFH single-cup brewers to distributors for use in offices. It provides its products under the Van Houtte, Brlerie St. Denis, Brlerie Mont-Royal, and Orient Express brands, as well as licensed Bigelow and Wolfgang Puck brands. The company was founded in 1981 and is based in Waterbury, Vermont.

Advisors' Opinion:
  • [By Ben Levisohn]

    I know we all need coffee, but do we need it so badly that Green Mountain Coffee Roasters (GMCR) can increase its market capitalization by more than one-third after beating earnings and entering into a partnership with Coca-Cola (KO)?

    Bloomberg

    I guess we do–and so does Coca-Cola. Green Mountain said it earned 96 cents a share, beating forecasts for 90 cents, while revenue came in at $1.4 billion, in line with forecasts for $1.4 billion. Green Mountain also said that it would earn between 93 cents and 98 cents during its second quarter, below forecasts for $1.02,! while full-year earnings would come in between $3.75 and $3.85, splitting the forecast for $3.83.

    The big news, however, is Green Mountain’s partnership with Coca-Cola, which had Coca-Cola purchase a 10% stake in Green Mountain for $1.25 billion. From the press release:

    The Coca-Cola Company (NYSE: KO) and Green Mountain Coffee Roasters, Inc. (GMCR) (NASDAQ: GMCR) announced today that the companies have signed a 10-year agreement to collaborate on the development and introduction of The Coca-Cola Companys global brand portfolio for use in GMCRs forthcoming Keurig Cold at-home beverage system. Under the global strategic agreement, GMCR and The Coca-Cola Company will cooperate to bring the Keurig Cold beverage system to consumers around the world. In an effort to align long-term interests, the companies also entered into a Common Stock Purchase Agreement whereby The Coca-Cola Company will purchase a 10% minority equity position in GMCR.

    Under the terms of the equity agreement, The Coca-Cola Company will acquire 16,684,139 newly issued shares in GMCR for approximately $1.25 billion, which represents an approximate 10% ownership in GMCR (after giving effect to the issuance). The newly issued shares have been priced at $74.98, which represents the trailing 50-trading-day volume weighted average price (VWAP) as of market close today.

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  • source from Top Penny Stocks For 2015:http://www.seekpennystocks.com/hot-logistics-companies-to-buy-for-2015.html

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