Vitamin boost for Green Mountain drink
Shares of Green Mountain Coffee Roasters Inc.(NASDAQ:GMCR) rose 11.55 percent in late morning trade on an announcement that the company is introducing a line of drinks named “Wellness Brewed” for its Kicureg single serve coffee system. There have been concerns that competition from low-cost rivals could adversely affect the company’s business.
It sells six varieties of drink with added health-boosting ingredients such as antioxidant vitamins. Its flagship Green Mountain coffee, Celestial Seasonings teas and Vitamin Burst fruit drinks are all thus fortified.
Has GMCR Found The Bottom And Ready To Move Higher? Find Out Here
While Green Mountain has made its mark in the nascent U.S. single serve market, competitors may soon offer similar products at lower prices as two of the company’s ‘K-Cups’ design patents are due to expire this month.
Fund manager’s stake hike sends Biofuel Energy stock flying
Meanwhile, a regulatory filing report that hedge fund manager David Einhorn has hiked his stake in BioFuel Energy Corp.(NASDAQ:BIOF)has resulted in a 28 percent spike in the company’s share price. As of June 30, Einhorn’s stake in the ethanol maker was 25.5 per cent. He now holds 36.2 percent.
The $19 million company has had a bad year so far. A severe drought has shrunk supplies and raised corn prices, thereby contracting margins of several ethanol producers. Not only that, this has also sparked a food vs. fuel argument. Food and livestock producers want the government to abandon the policy of converting more than one third of the U.S. corn crop to ethanol, at least temporarily.
Biofuel’s shares are among the top gainers with a gain of 53% to $4.60.