Coke and Coffee Maker's Collaboration Causes Social Media Stir

Coca-Cola's big investment in Green Mountain Coffee Roasters has the investing community enthralled on social media this week. Here's the scoop and why it matters.

Feb 13, 2014 at 4:43PM

Social media was abuzz last week on news that Coca-Cola (NYSE:KO) has agreed to both invest in and partner with Green Mountain Coffee Roasters (NASDAQ:GMCR).

Is Coca-Cola suddenly interested in entering the coffee-business fray? No, not exactly. It's more that Green Mountain is leaving the friendly smells of the coffee shop for the big time that is the cold beverage sector.

Green Mountain is betting its future that it can replicate and exceed its success putting individual-cup coffeemakers in 15 million U.S. households, with a machine dubbed the Keurig Cold. And with a megabrand like Coca-Cola behind it, success suddenly seems much more likely than failure. 

The value of the partnership is clear for Green Mountain -- powerful brands on the platform, access to world-class expertise, distribution, and resources in the U.S. and abroad -- but the positives for Coca-Cola are more subtle.

Coke is certainly looking for first-mover advantage on the assumption that Keurig Cold will eventually become a significant delivery channel for cold beverages. And with $11 billion in cash on the balance sheet as of the most recently available pubic filing, Coca-Cola certainly has the money to write big checks to gain an edge in emerging beverage innovations.

In the video below, Motley Fool contributor Jay Jenkins gives the rundown on Green Mountain, Coca Cola, and PepsiCo (NYSE:PEP) and explains why this is a very big deal for investors.

Coca-Cola is investing just like you in this deal. Here's how you can benefit
It's no secret that investors tend to be impatient with the market, but the best investment strategy is to buy shares in solid businesses and keep them for the long term. Coke's 10-year strategic agreement with Green Mountain is just the latest example. In the special free report "3 Stocks That Will Help You Retire Rich," The Motley Fool shares investment ideas and strategies that could help you build wealth for years to come. Click here to grab your free copy today.

For more business and investing news trending on social media, "Like" Jay here!

Jay Jenkins owns shares of Green Mountain Coffee Roasters. The Motley Fool recommends Coca-Cola, Green Mountain Coffee Roasters, and PepsiCo. The Motley Fool owns shares of Coca-Cola and PepsiCo. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

4 in 5 Americans Are Ignoring Buffett's Warning

Don't be one of them.

Jun 12, 2015 at 5:01PM

Admitting fear is difficult.

So you can imagine how shocked I was to find out Warren Buffett recently told a select number of investors about the cutting-edge technology that's keeping him awake at night.

This past May, The Motley Fool sent 8 of its best stock analysts to Omaha, Nebraska to attend the Berkshire Hathaway annual shareholder meeting. CEO Warren Buffett and Vice Chairman Charlie Munger fielded questions for nearly 6 hours.
The catch was: Attendees weren't allowed to record any of it. No audio. No video. 

Our team of analysts wrote down every single word Buffett and Munger uttered. Over 16,000 words. But only two words stood out to me as I read the detailed transcript of the event: "Real threat."

That's how Buffett responded when asked about this emerging market that is already expected to be worth more than $2 trillion in the U.S. alone. Google has already put some of its best engineers behind the technology powering this trend. 

The amazing thing is, while Buffett may be nervous, the rest of us can invest in this new industry BEFORE the old money realizes what hit them.

KPMG advises we're "on the cusp of revolutionary change" coming much "sooner than you think."

Even one legendary MIT professor had to recant his position that the technology was "beyond the capability of computer science." (He recently confessed to The Wall Street Journal that he's now a believer and amazed "how quickly this technology caught on.")

Yet according to one J.D. Power and Associates survey, only 1 in 5 Americans are even interested in this technology, much less ready to invest in it. Needless to say, you haven't missed your window of opportunity. 

Think about how many amazing technologies you've watched soar to new heights while you kick yourself thinking, "I knew about that technology before everyone was talking about it, but I just sat on my hands." 

Don't let that happen again. This time, it should be your family telling you, "I can't believe you knew about and invested in that technology so early on."

That's why I hope you take just a few minutes to access the exclusive research our team of analysts has put together on this industry and the one stock positioned to capitalize on this major shift.

Click here to learn about this incredible technology before Buffett stops being scared and starts buying!

David Hanson owns shares of Berkshire Hathaway and American Express. The Motley Fool recommends and owns shares of Berkshire Hathaway, Google, and Coca-Cola.We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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