Previous Recommendation:
Caligiuri Investments recommended GMCR three months ago on December 10th, 2010. Since then, the share price has increased from $33.81 to $59.99; this is an increase of 77.43% over a three month period. If you have not viewed the previous recommendation, please click here.
Share Price Increases Over 30% Today:
According to the New York Times:
"Green Mountain Coffee Roasters shares sailed out of the ballpark Thursday with a deal to sell Starbucks brand coffee and Tazo teas for its single-coffee Kuerig coffee machines starting later this year."
So what does this mean? GMCR made this move to increase its revenue and overall profit by offering Starbucks coffee and Tazo tea to its customers. I think will prove to be a very good strategic move for GMCR and expect the share price to increase substantially further in the future.
Buy More:
Most Investors would be scared to buy more GMCR stock after this 37% increase. Not Caligiuri Investments. I recommend for people to buy more stock in this company. When a share price increases as much as GMCR's did today it usually means one of two things: 1) The share price increased too much and the stock is overvalued or 2) The share price did not increase enough and there is still plenty of room for the stock to run. I think number two is the truth, buy more.
Michael R Caligiuri owns shares of Green Mountain Coffee Roasters
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