Canaccord Genuity Morning Coffee on Green Mountain (GMCR): Still Perky
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Price: $91.67 --0%
Rating Summary:
5 Buy, 15 Hold, 3 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 8 | Down: 5 | New: 26
Rating Summary:
5 Buy, 15 Hold, 3 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 8 | Down: 5 | New: 26
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Canaccord Genuity Morning Coffee on Green Mountain (NASDAQ: GMCR):
Still perky.
Green Mountain has introduced its new Keurig brewing system, the Vue. The system will be available over the coming weeks at Bed, Bath & Beyond (Nasdaq: BBBY) and the company’s online stores. Following the initial launch, Vue availability will be expanded to additional retailers this spring with two additional brewer models slated to be available later this year. The initial brewer price point of $249 is in line with Canaccord Genuity Consumer & Retail Analyst Scott Van Winkle’s expectation and the two incremental brewers are to have lower price points approaching the current price of a B70 K-cup brewer at $169. The premium launch followed by lower-priced models is exactly in line with Van Winkle’s expectation. The Vue portion packs will be priced at about an 11% premium to existing K-cups and sold in 16- and 12-count packages depending on the size of the cup. The major surprise is the new Vue cup is recyclable, which should expand the customer base, but Van Winkle notes it’s difficult to measure how significant the attribute could be to penetration. Folgers (NYSE: SJM) is the first third-party coffee brand available on the Vue, although one would have expected Starbucks (Nasdaq: SBUX) to be first. Celestial Seasonings is the only tea available at launch, which is favourable for Hain Celestial (Nasdaq: HAIN).
Still perky.
Green Mountain has introduced its new Keurig brewing system, the Vue. The system will be available over the coming weeks at Bed, Bath & Beyond (Nasdaq: BBBY) and the company’s online stores. Following the initial launch, Vue availability will be expanded to additional retailers this spring with two additional brewer models slated to be available later this year. The initial brewer price point of $249 is in line with Canaccord Genuity Consumer & Retail Analyst Scott Van Winkle’s expectation and the two incremental brewers are to have lower price points approaching the current price of a B70 K-cup brewer at $169. The premium launch followed by lower-priced models is exactly in line with Van Winkle’s expectation. The Vue portion packs will be priced at about an 11% premium to existing K-cups and sold in 16- and 12-count packages depending on the size of the cup. The major surprise is the new Vue cup is recyclable, which should expand the customer base, but Van Winkle notes it’s difficult to measure how significant the attribute could be to penetration. Folgers (NYSE: SJM) is the first third-party coffee brand available on the Vue, although one would have expected Starbucks (Nasdaq: SBUX) to be first. Celestial Seasonings is the only tea available at launch, which is favourable for Hain Celestial (Nasdaq: HAIN).
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