A Huge Hidden Win for Krispy Kreme

Before you go, we thought you'd like these...
Before you go close icon

The following video is part of our "Motley Fool Conversations" series, in which consumer-goods editor and analyst Austin Smith and industrials editor and analyst Brendan Byrnes discuss topics around the investing world.

In today's edition, Austin and Brendan talk about a potential win for Krispy Kreme -- the sale of 12% of its shares by Green Mountain Coffee Roasters' former chairman, Robert Stiller. As the second largest shareholder, Stiller could have played a leveraged hand in Krispy Kreme's drive to double coffee sales and may have been able to push for Green Mountain to be the exclusive or featured brand. Now that he's had to sell his shares, the potential for different partners is more likely. While this was never the stated intention of his ownership, it seems like a reasonable assumption to make.

Both Krispy Kreme and Green Mountain were multibagger stocks for investors ... until they weren't. After rising sharply, both companies erased huge gains with breakneck plunges. But fear not! There are incredible, sustainable stocks out there set to compound their returns for years without this same sort of drop. You can "Discover the Next Rule-Breaking Multibagger" in our analysts' newest free report. Click here to uncover the pick today.

At the time this article was published Austin SmithandBrendan Byrneshave no positions in the stocks mentioned above. The Motley Fool owns shares of Starbucks.Motley Fool newsletter services recommendGreen Mountain Coffee Roasters and Starbucks. Try any of our Foolish newsletter servicesfree for 30 days. We Fools don't all hold the same opinions, but we all believe thatconsidering a diverse range of insightsmakes us better investors. The Motley Fool has adisclosure policy.

Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Read Full Story

Want more news like this?

Sign up for Finance Report by AOL and get everything from business news to personal finance tips delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.

From Our Partners