patrick.net

Who's gonna pay the dentist bills?

I'm a little worried that the paintball CO2 tanks are not really food items. Could they have some contaminant in them?

What about getting a giant food-grade CO2 tank like McDonalds uses, and some adapter for that?

For a politcal activist type who has high moral standard, I am suprised you find this Isreali company with really questionable business practice investible.

So... instead of being annoyed, I looked up the stock (SODA) and they have no debt, a P/E of 25, and seem to be growing rapidly. I bought some of the stock today. Mistake? What am I missing?

If there is anything that you are missing, it's that this is probably more if a trading stock than a buy and hold.

Being an Israeli company shouldn't factor into any 'moral' decision making, when it comes to investing....

Now, if you want to gamble/trade, and think SODA has some upside, then knock 'yerself out, and load up.

However, if you want the closest 'sure thing' to 10% annual growth, Coca Cola (KO) is it. Buy/Hold and re-invest the dividends, and you'll be all set. Decades (!) of increasing dividends by 10% annually like clockwork (in February of each year, IIRC). Don't buy the hype of 'sugary drinks/obesity/blablabla', you are buying a distributor that happens to sell a handful of products (out of 200+) that's getting the knickers of the politically correct in a twist. If KO dives on temporary bad news by being under this temporary microscope, then you buy w/ both fists till you gots no more dry powder to spend.

There is a reason why KO is one of Warren Buffet's top 10 holdings. It's a free cash-flow machine.

AverageBear says

Being an Israeli company shouldn't factor into any 'moral' decision making,
when it comes to investing....

The equipment is manufactured in the west bank region of the Israel/Palestnian conflict to take advantage of workers with lack of labor laws/protection for poor people with some of the most disgusting working condition and peanut wages in the world.

It's exploiting labor at its absolute worst. You can support that, but I would not.

SFace says

AverageBear says

Being an Israeli company shouldn't factor into any 'moral' decision making,

when it comes to investing....

The equipment is manufactured in the west bank region of the Israel/Palestnian conflict to take advantage of workers with lack of labor laws/protection for poor people with some of the most disgusting working condition and peanut wages in the world.

It's exploiting labor at its absolute worst. You can support that, but I would not.

So you are OK w/ your iPhone, where it was made, and who made it? Or if you don't have an iPhone, pick any of the many electronic gadgets and household appliances and housewares that you own...

So picking on, and concentrating on an Israeli company because of its questionable labor practices, while turning a blind eye to the thousands of other MNCs (like Apple) that do the same thing is OK with you?

Sounds like you want to talk more about Israel, than whether SODA is a sound investment. (Pat.net does have a section for politics for this).....

zzyzzx says

AverageBear says

ZZ, i picked up 25 shares today at around $40 a share. The P/E is a tad over 20x, but when you buy in w/ such a small chunk of money ($1000), it's not the end of the world. My 401K is a little light on KO and JNJ(heavy w/ INTC, PM, MCD) , so when I saw that the earnings was a little disappointing this morning, I picked up a small amount at 40...

Would you still by KO today at ~37/share?

ZZ, yes I bought another $1000 block around $37.25..... I'll buy KO when I have $$, as long as it's under a P/E of 20.... To me, t's worth the premium...

i found vita chocolate coconut water at the .99 cent store. 3 litres for .99 cent. just buy this instead. delish and healthier!

bgamall4 says

AverageBear says

So you are OK w/ your iPhone, where it was made, and who made it? Or if you don't have an iPhone, pick any of the many electronic gadgets and household appliances and housewares that you own...

So picking on, and concentrating on an Israeli company because of its questionable labor practices, while turning a blind eye to the thousands of other MNCs (like Apple) that do the same thing is OK with you?

At least the Chinese who are working on the Iphone are not prisoners to an occupation not unlike South Africa. It is a very different situation than China. Nice try though.

Almost as as bad as the TBTF American financial terrorists and the Fed plus their bought and paid for crony helpers in the government. But not quite ;)

mell says

At least the Chinese who are working on the Iphone are not prisoners to an occupation not unlike South Africa. It is a very different situation than China. Nice try though.

THanks reminding me why I have bgmall on my ignore list... :)

Because working conditions in China and South Africa will help the investor to decide if SODA is a good investment.... PFFFT.

This stock took a big dump today, and on a huge up day. That and it has huge short interest.

Down to 49.60 /sh

Stock is below 50/sh again. I am not sure if it's year end tax loss selling or the beginning of the end for this stock as a high growth stock.

PE is lower than when Patrick created this thread, and they have more competition.

Still going down, even after tax loss selling has presumably stopped.

zzyzzx says

Still going down, even after tax loss selling has presumably stopped.

Companies usually take a lot of write offs at the end of the year. They get a lot of tax deductions this way. Most important to look at is the cash flow, everything else is just accounting gimmicks.

$39.76/sh Down 10.13(20.31%) 9:34AM EST - On lowered guidance.

syrups are not selling in mature markets. (which reflects lower selling price of the machine and unfavorable mix "ie. lack of repeat customer).

If you want to invest in SODA, you have to look at the growth or lack of growth in syrup sale layering out inventory build-out of more SKU and new market.

Personally, I think SODA at home is quite stupid (anywhere in the world) when you can gets lots of them cheap in a million or variety cheap at Costco, supermarket or your local liquor store. Coffee for the adult at home --- yes, SODA at home --- WTF?

And as a follow up question to Patrick, how much Syrup/CO2 have you purchased in the past 12 months?

Mgmt is guiding a flat Q4 and likely a loss in Q1. There it goes based on cheap PE argument, (it's now expensive because forward earnings are poof, lol)

FY14 quarter estimate of 3.24 or so may be off by, I don't know, $3.00.

Down to $37.44/sh

Down to $35.65/sh

http://news.yahoo.com/canadian-minister-wades-sodastream-row-093112689.html

Canadian minister wades into SodaStream row

Ottawa (AFP) - The employment minister of Canada, a strong supporter of Israel, has waded into the spat over Oxfam breaking with US actress Scarlett Johansson for endorsing an Israeli soft drink firm that operates in the occupied West Bank.

Minister Jason Kenney, who is also minister of multiculturalism in Canada, extended an ironic thank you to Oxfam for bringing the Israeli firm SodaStream to his attention.

Last week Johansson made headlines when she quit her role as Oxfam ambassador after the NGO said her promotion of SodaStream was "incompatible" with her role at the international aid agency.

SodaStream, which manufactures machines for making carbonated drinks at home, has 25 factories around the world, including one that operates in a settlement east of Jerusalem.

"Bought a nice @SodaStream unit at the @HudsonsBayCo. Thanks to @Oxfam for the tip," the minister said in a tweet.

Oxfam calls for a boycott of any Israeli firm operating in settlements in the occupied West Bank, which are illegal under international law.

The minister's message also featured a photo of a SodaStream beverage machine with its brand name clearly visible.

It also bore the letters "BDSfail" in reference to the campaign calling for "boycott, divestment, sanctions" of Israeli products and goods.

Canada is a strong backer of Israel, and Prime Minister Stephen Harper visited Israel late last month.

Coca Cola to enter home soda market http://blogs.wsj.com/corporate-intelligence/2014/02/05/bad-news-for-sodastream-the-elephant-has-entered-the-room/

smaulgld says

Coca Cola to enter home soda market http://blogs.wsj.com/corporate-intelligence/2014/02/05/bad-news-for-sodastream-the-elephant-has-entered-the-room/

Pepsi thinking about it too.

Just hit with some more downgrades.

The Soda gadget may be fun to use but if you are interested in an investment, buy Coke.

SODA Down to 33.35/sh

clambo says

The Soda gadget may be fun to use but if you are interested in an investment, buy Coke.

So true. Coke is at 42.24/sh

SODA down to $29.00/sh!

Most people drink soda NOT because they want fizzy water. It is a consumption of brand.

Does Starbucks sell coffee? Or does it sell an emotion?

Going private for around $40/share.

http://finance.yahoo.com/news/sodastream-buyout-talks-bloomberg-160646571.html

Society of Demented (Real Estate) Agents?

(SODA)

Back down to $29.16/sh

New 52 week low today!

$27.85/sh - down by more then 5%!

Down in pre-market trading:

$22.60 Down $4.97 (18.03%) 9:25AM EDT

http://www.forbes.com/sites/samanthasharf/2014/10/07/sodastream-shares-plunge-to-all-time-low-on-53-income-decline/

SodaStream Shares Plunge To All-Time Low On 53% Income Decline

Shares of SodaStream International were down close to 18% in pre-market trading Tuesday setting up the stock to open below $23 for the first time ever. The stock’s previously low of $27.44 was hit on Monday as shares were down 42.7% year-to-date before the morning plunge.

In a preliminary earnings report released Tuesday SodaStream estimated its third quarter revenue will come in at $125 million, down 13.5% from the same period last year and more than $25 million short of Wall Street analysts’ consensus call for modest year-over-year growth. The home carbonation system maker says its operating income will be approximately $8.5 million, down 52.8% from the same period last year.

The Israeli company’s 2014 woes began in early January when, in a preliminary earnings release similar to Tuesday’s, it told investors 2013 earnings would be 23% lower than it had forecast earlier. Things appeared to be getting worse in February when Coca-Cola and Green Mountain Coffee announced a partnership to develop an at-home soda making system.

SODA flat today.

Blurtman says

SODA flat today.

SODA lost it's fizzle months ago.

zzyzzx says

The Israeli company’s 2014 woes began in early January when, in a preliminary earnings release similar to Tuesday’s, it told investors 2013 earnings would be 23% lower than it had forecast earlier.

What's wrong with those israelis? Don't they know that all they have to do is a share buyback? They could buy back every outstanding share except one and then any sales they made would look great on their EPS statement.

bgamall4 says

zzyzzx says

Blurtman says

SODA flat today.

SODA lost it's fizzle moths ago.

It is fizz, not fizzle. :)

Fizzle is how Snoop Dog would say it.. Like "Sodizzle losts it's fizzle"

bgamall4 says

zzyzzx says

Blurtman says

SODA flat today.

SODA lost it's fizzle moths ago.

It is fizz, not fizzle. :)

Fizzle is how Snoop Dog would say it.. Like "Sodizzle losts it's fizzle"
bgamall4 says

There are times when you have to take a moral stand, you dumb bruin.

An occupation has traditionally been looked upon as a form of slavery.

How easy it is to take a moral stand by not buying a product that you wouldn't buy anyways...It looks good on paper though.

Down to $21.79/sh

I still want to know if anyone here actually bought this POS stock.

Down some more:
$20.58/sh Down 0.95(4.39%) 1:39PM EDT

I like their soda machine, but their syrups need serious work. They could be so much better if they improved on that. I'm going to send them an email as a consumer and as a shareholder (ha!).