Market Overview

Green Mountain Shares Lower Despite Raised Target, Bullish Comments at SunTrust

Share:
Related GMCR
A Look At David Einhorn's Recent Short Calls
Domestic Fair Trade Label Set To Enrich Local Economies, Expand Retailer Options
Related SBUX
Fecal Macchiato? Bacteria Found In British Starbucks Iced Drinks
7 Fun Facts about Starbucks In Honor of Its IPO's 25th Anniversary
McDonald's, Burger King Hurt Dunkin' Donuts' Afternoon Sales (GuruFocus)

SunTrust Robinson Humphrey's William Chappell lifted his price target on shares of Green Mountain (NASDAQ: GMCR) from $45 to $50 in a research note Friday morning. The analyst reiterated a Buy rating.

Chappell believes fears related to the entry of Starbucks' (NASDAQ: SBUX) Verisimo into the single-serve market have "substantially diminished" over the last month or so. The analyst called the recent "$50 off" promotion a positive indication for Green Mountain.

Citing channel checks, Chappell believes new K-Cup competition has now finally arrived at the marketplace. He pointed out Kraft's (NASDAQ: KRFT) has been "limited" and private-label K-Cup discounts are smaller than the normal branded-to-private label spread. Chappell is expecting a slow 2013 ramp for private-label K-Cups.

Green Mountain shares are trading down nearly 1 percent in pre-market action.

Latest Ratings for GMCR

DateFirmActionFromTo
Nov 2015WedbushMaintainsNeutral
Nov 2015OTR GlobalDowngradesMixedNegative
Sep 2015CLSAMaintainsUnderperform

View More Analyst Ratings for GMCR
View the Latest Analyst Ratings

Posted-In: Analyst Color Price Target Reiteration Analyst Ratings

 

Related Articles (GMCR + KRFT)

View Comments and Join the Discussion!