Photo: Flickr/Thomas Abbs
Green Mountain Coffee’s stock shot up in after hours trading following its earnings post which beat analyst expectations.Bera in mind that this is one of the most shorted stocks out there.
It raised its projected sales growth for the year from 45%-53% to 70-80%.
Profits soared 73% to $26.1 million or $0.18 per share up from $15.1 million or $0.11 per share in the first quarter of 2010. Analysts had called for $0.16 per share on $24.1 million.
The company said strong sales of its Keurig single-cup brewing systems and K-Cup portion packs during the holiday shopping season were the main contributors to its 66.6% jump in revenue to $575 million.
Overvaluation and accounting concerns have made this one a short-sellers favourite. Short interest in the stock is on the rise with 28 million shares which accounts for 27% of the company’s total float.