Categories
Life Tips

People are brewing coffee at home

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Folgers coffee pic

Reuters: JM Smucker Q4 beats Street, raises 2010 profit view. Quote:

Peanut-butter and jelly maker J.M. Smucker Co’s (SJM.N) fourth-quarter profit handily beat market expectations, helped by strength in its Folgers coffee business, and the company raised its 2010 profit outlook.

“Our core business continues to produce solid results and the recently added coffee business’s performance has exceeded our expectations,” co-Chief Executive Tim Smucker said in a statement.

My take
More trouble for Starbucks…this is one sign of consumer behavior change amid this recession. Bye bye $2 a cup coffee, welcome home brewing gourmet coffee 🙂

Categories
Investing

Multi-dimensional investing

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It’s the NBA playoffs season again, and I watched the two games between Phoenix Sun and San Antonio Spur lately. As you may know, I am a big fan of Phoenix Sun/Nash. But they disappointed me again this year: they lost 2 games in a row. The main reason is that Phoenix is pretty much a one-dimensional team: a fast tempo, “Nash passing, Stoudemire dunk” team. After the Spurs sealed the ball from Nash to Stoudemire, Suns lost its touch. I did not see meaningful contributions from other key players (Diaw, Barbosa, Bell), and Shaq is just a bit too old. So what’s my point? In the NBA, the team with the best balance of offense and defense wins (if we exclude referee, luck factor). A team can not win the championship simply by one strategy, one super star,…they need the supporting cast, the defense as well as offense.

Back to the investing. Yesterday we saw a huge disppointment from Starbucks (Nasdaq:SBUX) earning report. It says “it experienced the worst consumer enviroment”.

starbucks coffee cup size pic
(picture souce: will work for food)

Categories
Life Tips

Coffee, espresso, coke and investing: I

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The caffeine effect
Which one has the most caffeine? A tall (12 fl oz, or 355 ml) brewed coffee, a tall latte with one shot of espresso (both at Starbucks), and a can (12 fl oz) classic Coca Cola?

Your instant answer maybe the latte (espresso), but the correct answer is the brewed coffee. According to Starbucks Nutrition By the Cup (PDF), 12 fl oz coffee has 240 mg caffeine, one shot espresso (1 fl oz) has 75 mg caffeine. As to Coke, I saw it says “caffeine content: 34mg per 12 fl oz”.

I don’t know what is the appropriate amount of caffeine a person could consume daily. My guess is one small cup a day should be ok for most people. I think it also depends on person’s health condition (weight, height, habbit of drinking). But just like many other things in life, moderation is the key. A cup of regular coffee will get one refreshed in the morning (it has caffeine equivalent to 7 cups of Coke). But when the initial effect of coffee goes away in a few hours, he/she will resort to another coffee. And so on. I think we can be more easily get caffeinated that way.

starbucks coffee cup size pic
(picture souce: will work for food)

Categories
Stocks

Starbucks Continues the Slide

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Reuters has an excellent article on this. I don’t need to say anything more. Yes I will buy more Starbucks if it hits 27.

Separately, I started the trial offer of Netflix, the online DVD (movie) rental service. It’s very easy to use, and one important feature I notice is: they will always send a new movie (according to viewer interest, the moive queue) once the user returns the old one. Sounds like they are trying to get the user addicted to the movie?

Seriously I think the coffee and movie are in the business of “cheer people up”.  

Categories
Fun

Coffee at McDonald and Starbucks

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Call it gourmet coffee, premium coffee, or designer coffee, whichever way you want to call it. But I have seen the “Gourmet Coffee” bulletin board put up by McDonald to make fun of Starbucks’ price. I also noticed Starbucks is adding “drive through” windows and open new locations like crazy lately. All these, according to Todd Sullivan’s value play blog, is kind of related…

Separately, a short time ago I heard KFC and McDonald are creating “drive through” stores in China. So are we in “car and caffeine driven society” now?