SunTrust Says Buy the Dip in Green Mountain (GMCR) Shares as Starbucks' (SBUX) Concerns 'Overblown'
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Price: $91.67 --0%
Rating Summary:
5 Buy, 15 Hold, 3 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 11 | New: 14
Rating Summary:
5 Buy, 15 Hold, 3 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 11 | New: 14
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Amid a 3.5 percent decline in shares of Green Mountain Coffee Roasters (Nasdaq: GMCR) Thursday, SunTrust's William Chappell is recommending investors buy the weakness.
The stock is moving lower this afternoon amid concern related to an upcoming Starbucks (Nasdaq: SBUX) announcement related to a new initiative in the single-cup market. Starbucks' Howard Schultz and President of Channel Development Jeff Hansberry will hold a webcast at 5pm ET Thursday.
While traders are clearly betting Starbucks may begin to move away from its deal with Green Mountain, the SunTrust analyst believes fears Starbucks will develop its own single-serve platform are "overblown." With the downside this afternoon, Chappell sees a positive catalyst if Green Mountain is in fact included in this new initiative. One possibility offered by Chappell suggests Starbucks may extend the Keurig into its VUE platform.
SunTrust maintains a Buy rating and $90 price target on shares of Green Mountain.
Shares of Starbucks are up 1.8 percent at last check.
The stock is moving lower this afternoon amid concern related to an upcoming Starbucks (Nasdaq: SBUX) announcement related to a new initiative in the single-cup market. Starbucks' Howard Schultz and President of Channel Development Jeff Hansberry will hold a webcast at 5pm ET Thursday.
While traders are clearly betting Starbucks may begin to move away from its deal with Green Mountain, the SunTrust analyst believes fears Starbucks will develop its own single-serve platform are "overblown." With the downside this afternoon, Chappell sees a positive catalyst if Green Mountain is in fact included in this new initiative. One possibility offered by Chappell suggests Starbucks may extend the Keurig into its VUE platform.
SunTrust maintains a Buy rating and $90 price target on shares of Green Mountain.
Shares of Starbucks are up 1.8 percent at last check.
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