Stifel Says Green Mountain's New CEO Will Have Tough Time Impacting Category Dynamics
The Street is clearly excited with news of a fresh CEO over at Green Mountain Coffee Roasters (NASDAQ: GMCR): the stock rose about 2% on Tuesday and has traded in positive territory for most of Wednesday morning.
But not everyone is so rosy on the news. Stifel Nicolaus' Mark Astrachan, the lone analyst with a Sell rating on Green Mountain shares, believes the company's challenges are structural and will not be improved by an upper-level management change. While Astrachan did admit the move was encouraging, he feels new management is unlikely to meaningfully impact category dynamics.
Astrachan also noted recent indications from Green Mountain management which could suggest a possible strain with Starbucks/Green Mountain's relationship.
© 2014 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.