Motley Morons and the rear view mirror approach to investing.
These guys are really on a role with their stupidity. Once once a company becomes the market leader in a category and has a superior brand, they can use that brand to gradually grow in parallel segments. It's all the beverage industry- coffee, lattes, rootbeer floats, energy drinks, green tea, smoothies. The list is endless. Do Motley Morons really think the company is so stupid that a new venture is just going to be plain old soda? It's probably going to be something new and popular consumers are hungry for. I guess if I want to retire poor, I'll just do whatever dumb analysts recommend, like Motley Morons, Weed Greenburg, David Einwhore, Insider Monkey Brains, and Seeking Negative Alpha. They all recommend the rear view mirror approach to investing (navigating by looking at your rear view mirror), which will hurt you in the long run.
So, do you always define "moron" as someone who has a different opinion than you? There is certainly room for an honest disagreement as to the future of competion for GMCR. My opinion is that their profits will probably max out sometime in 2014, then level off. Therefore I believe that the stock will probably be in the 55 dollar range a year from now.
I do not consider you a moron because you disagree, why must you resort to so much name calling?
Well, you're ignoring GMCR's importance to Starbucks and all the new products in the pipeline. Seems like you're ignoring the low number of outstanding shares also. I think it's just too easy to say, "that's it it's over", which is really naive. No offense or anything, but I trust Mr. Kelly's leadership more than yours. I know I don't know you, but you're probably not an exec in the beverage industry with an outstanding track record. But really, that $55 in a year comment, that's what I meant by the rear view mirror approach- makes it hard to see what's in front or ahead. It's the future that's discounted to the present to get the value, not just the present and the past.