By
Blake Bos and Isaac Pino
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November 28, 2012
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Green Mountain Coffee Roasters (Nasdaq: GMCR ) had shares climb 20% after coming out with a great earnings report. Is this finally the bounce back for the company that many wondered if it would ever come? On the company's most recent conference call, they discussed a strategy of focusing on lower cost machines and selling more cups. Although they did see their patent expire, they don't as yet see non-licensed cups to be a significant threat, as there are big cost and distribution barriers for any competitor that are keeping competition down. There will be increased competition from companies such as Starbucks (Nasdaq: SBUX ) , Kroger (NYSE: KR ) , and Dunkin' Brands (Nasdaq: DNKN ) , driving margins thinner, but Motley Fool analyst Blake Bos still sees the company as reasonably priced today, and at a good entry point.
With Green Mountain as cheap as it's ever been, many investors are wondering whether this is the end of the former market darling, or the perfect entry point for an enormous rebound. You can find our recommendation for how to play the company in our new premium research report. In it you'll find everything you need to know about Green Mountain, including whether it's a buy at today's prices. Click here for instant access.