SOURCE: Five Star Equities

Five Star Equities

August 27, 2012 08:20 ET

Starbucks and Green Mountain Coffee Roasters Look to Benefit From Falling Coffee Prices in 2013

Five Star Equities Provides Stock Research on Starbucks and Green Mountain Coffee Roasters

NEW YORK, NY--(Marketwire - Aug 27, 2012) - After an impressive start to the year coffee stocks have cooled off significantly as Europe's current economic crisis have seen demand drop across the region. But global demand may be picking up as recent data from the International Coffee Organization (ICO) showed that global coffee shipments have increased 2 percent in the April-June quarter, after declining in the two previous quarters. Five Star Equities examines the outlook for companies in the Coffee Industry and provides equity research on Starbucks Corporation (NASDAQ: SBUX) and Green Mountain Coffee Roasters Inc. (NASDAQ: GMCR).

Access to the full company reports can be found at:

Coffee prices have dropped significantly in 2012. According to the ICO from July 2011 to July 2012 the average monthly price for a pound of coffee has fallen by 24 percent. Coffee companies haven't immediately benefited from lower prices, but will look to in 2013.

"What they typically do is they buy coffee on a six-to-nine-month-out forward-rolling basis," says Will Slabaugh, research analyst at Stephens Research. "When you see coffee prices dropping now, what you're preparing for is a benefit into next year and then likely into 2014 as well, if prices can stay low."

Five Star Equities releases regular market updates on the Coffee Industry so investors can stay ahead of the crowd and make the best investment decisions to maximize their returns. Take a few minutes to register with us free at and get exclusive access to our numerous stock reports and industry newsletters.

Starbucks earlier this month signed a $25 million partnership with Square Inc., a provider of credit card readers for mobile devices, to their credit and debit transactions. By the fall customers will be able to pay for their purchases by using Square's mobile apps. "Both Starbucks and Square take a similar approach when building products and running our businesses, and together we can bring the best possible payment experience to Starbucks customers," said Starbucks Chairman, President and CEO Howard Schultz.

Green Mountain Coffee Roasters, makers of the Keurig Single Cup Brewing System, shares rose over 25 percent after reporting strong second quarter results earlier this month. Shares of the company saw their biggest gain in over a year after reporting second quarter profit surged 30 percent. Net Income grew to $73.3 million from $56.3 million a year earlier.

Five Star Equities provides Market Research focused on equities that offer growth opportunities, value, and strong potential return. We strive to provide the most up-to-date market activities. We constantly create research reports and newsletters for our members. Five Star Equities has not been compensated by any of the above-mentioned companies. We act as an independent research portal and are aware that all investment entails inherent risks. Please view the full disclaimer at:

Contact Information