Shares of Keurig Green Mountain Inc. (NASDAQ:GMCR) traded at a 52-week high Monday in the wake of a new deal with Kraft Foods Group Inc. (NASDAQ:KRFT). The company also rolled out a new version of its Keurig coffee line, dubbed the Keurig 2.0 System. “Keurig 2.0 is the first Keurig brewer to brew both a single cup and a four-cup carafe from a Keurig brand pack,” the Waterbury, Vt.-based firm said in a press release.
Kraft and Keurig Green Mountain signed an agreement last week that will have the former sell its branded coffees in the latter’s special Keurig packaging.
According to the Zacks research shop’s Analyst Blog:
Investors are encouraged by these initiatives, which further Keurig Green Mountain’s goal of sustaining its dominance in the single-serve brewing market even after the expiry of its K-cup patents in Sep 2012. Through these agreements, the coffee maker is aligning with the strongest beverage brands to support a range of consumer choices and taste profiles under the Keurig Single-Cup Brewing system.
Keurig Green Mountain shares have been on the rise this year, backed by several strategic alliances [that] should help it maintain a leading position in the single-serve brewing category. The solid business momentum of the ... company helped it to yield a solid year-to-date return of 78.7 percent.