A year ago Vineet Dutta wrote a Seeking Alpha Focus piece on Pulse Beverage (OTC:OTCQX:PLSB). It was a positive piece written near the very apex of Pulse's stock price rise. Pulse briefly saw $1.45 a share before beginning a long fall to .40 at the end of 2013.
2014 has brought some life back into the stock. Closing the year at .40 it has risen as high as .80 in 2014 and currently trades at around .60.
Vineet Dutta's assessment of Pulse was not so much wrong as premature. The point was for Pulse to get distribution for its line of natural and health drinks. Which is what Pulse spent 2013 actually doing. Here's a stack of press release headlines....See if you can spot a trend.
Pulse Sells Out First Shipment of Natural Cabana(NYSE:R) Coconut Water
To sell product your product has to be in the stores. With agreement after agreement Pulse is doing the long march toward US nation-wide distribution. In a press release in June 2013 Probe stated:
Pulse is ahead of its sales objectives of 20,000 chain store listings by the end of 2013.
Has the company made that objective?
With deals like Kroger (1233 stores) or Albertsons (380 stores) reaching the 20,000 store goal is realistic and may already have happened.
Rolling out new products like Cabana Coconut Water at 1000 locations in California, is a great way to build the brand.
In its last quarterly report filed November 14, 2013 Pulse stated,
During the three months ended September 30, 2013 grocery and convenience chain store listings for Natural Cabana Lemonade increased by 3,000 listings to more than 17,000.
In the highly competitive beverage business a company which can gain the listings it plans to get is one to watch.
All the more so as the management team includes many of the people who drove Clearly Canadian from no sales to 4.8 million cases in less than three years.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.