Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Non-Tech : Krispy Kreme Doughnuts, Inc. (KKD) -- Ignore unavailable to you. Want to Upgrade?

To: Jon Koplik who wrote (624)	12/29/2000 6:51:13 PM
From: Red Heeler	Respond to of 1001

Jon, It's a little unfair to compare KREM to either of those other eateries but, in comparison, the primary difference is that KREM makes the very best product possible. The product at the other two is not worth the price. Those places are going to have to find a way to improve the quality of their food if they hope to survive. You only eat at them once to see grunting mechanical gorillas or Sam Star's jock strap. After that, you eat there for the food. If it's not up to par you don't go back. I haven't been to either in a long while because I can find better food at better prices elsewhere and most of my out-of-town visitors have now "been there-done that." Krispy Kreme makes doughnuts and coffee. No gorillas. No jock straps. No pretense. Krispy Kreme makes the best doughnuts. KREM is ahead of the fundamentals, but for the following reasons: - They have proven that their expansion will work by their success in new markets. - They have lots of room to grow. - Expansion is increasing. Revenues are increasing. Earnings are increasing. - Institutional ownership is still relatively low. Their P/E is high, but is it too high? Mr. Burns, et al, say "yes." You and I say "no." That question isn't troublesome for LTB&H investors - especially those who dollar-cost-average over a number of years (is there really such an animal?). But it's the kind of question that drives traders to weight-losing distraction. (I also think KREM is recession-proof but that remains to be seen.) CC

To: Jon Koplik who wrote (624)	12/29/2000 7:18:25 PM
From: Kevin Podsiadlik	Respond to of 1001

There's one other ingredient that's at least presently missing from the KREM mix. MSFT, CSCO, and even MCD all have it. That would be materially affecting the way people lead their lives. MSFT helped put computers in the households of the world. CSCO was instrumental in giving us the Internet as we know it today. And MCD gave families everywhere a way to eat out on a budget. What will KREM's accomplishment be that will vault it into the pantheon of these great companies? How will it change our lives? Will the rise of Krispy Kreme into national prominence materially affect the place of the doughnut in our national, or worldwide, diet? Because unless the folks at KREM have something very different in mind for the long-term course of their company, that is basically what it is going to take for KREM to achieve the greatness some people here prophesy for it.