Somebody asked me if my price targets reflect my view of the company’s “fundamental” or M&A value. The answer is a definite “no.” In an M&A transaction, I would think the company would fetch closer to 4x store-level cash flow, or 7x contribution margin, each of which implies about $3.00 per share today (and hopefully a lot more in a few years).
Jamba Juice Should Bear Fruit by Mid-2009 [View article]
The suspension of the Nestle licensing deal does not affect my analysis. The forecasts did not include any material revenue from the Nestle relationship. -JA
On Dec 19 09:50 AM spincus614 wrote:
> Mr. Appel- I don't see how you can be right, especially now that > the Nestle deal is (at least temporarily) kaput. Did you know about > the production problems and shutdown when you wrote your this posting? > If not, how does the suspension of the Nestle program affect your > analysis?
Jamba's New CEO Providing a Boost [View article]
Jamba Juice Should Bear Fruit by Mid-2009 [View article]
On Dec 19 09:50 AM spincus614 wrote:
> Mr. Appel- I don't see how you can be right, especially now that
> the Nestle deal is (at least temporarily) kaput. Did you know about
> the production problems and shutdown when you wrote your this posting?
> If not, how does the suspension of the Nestle program affect your
> analysis?