Van Winkle pointed out that a National Coffee Association survey showed 81% of respondents' impression of single-serve coffee to be favorable, with purchase intent rising.
That bodes well for Green Mountain and its growing roster of available K-Cup options, as brands like Dunkin' Donuts (DNKN), Starbucks (SBUX), ConAgra's (CAG) Swiss Miss, Newman's Own and Hain Celestial's (HAIN) Celestial Seasonings tea offer brewing pods for the system, among others.
"Dunkin' advertising support is the unappreciated asset and Starbucks' 'on-time' launch should add to holiday momentum," Van Winkle added.
Earlier this year, the analyst raised his market share expectations for Keurig from 15% to 25% and then to 30%, but said he saw the one-cup brewer garnering upwards of 40% market penetration "given the strong line-up of brands available and further innovation lying ahead."
Shares of Green Mountain are up more than 180% year to date, and more than 240% from a year ago. The stock was rising 2.1% in premarket trading Monday after closing higher Friday at $92.06.
-- Written by Miriam Marcus Reimer in New York.
>To contact the writer of this article, click here: Miriam Reimer. >To follow the writer on Twitter, go to @miriamsmarket.
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