Mondoweiss told us that the stock dropped the day after Johansson signed up with SodaStream. The connection between the two is the same as the link between Seattle having won the Super Bowl the same day it snowed in Moscow.
The same Elena Popina who wrote that SodaStream’s dropped on Monday because of the boycott movement wrote last month, “The home-soda machine maker plunged 26 percent in its first day of trading after saying it tapped Hollywood actress Scarlett Johansson for a spot during the football game as investors focused on the company’s worse-than-forecast earnings….
“SodaStream reported preliminary adjusted net income of $52.5 million for 2013, below the $65.4 million median estimate in a Bloomberg survey of four analysts.”
So we finally get to the truth, which Mondoweiss can’t tolerate if it does not support its anti-Israel agenda.
The stock of SodaStream has been one of biggest stars on Wall Street the past three years. It tripled since 2011 and simply got far ahead of itself. Like Amazon, whose stock plunged 10 percent in one day last week when it came through with a disappointing report, SodaStream’s stock has been living on great expectations.
Great expectations that finally were not fulfilled were behind the the overall stock market plunge of 5 percent the past several days.
Is it because of the boycott? Maybe Amazon dropped because Jews in Judea and Samaria are reading Kindle books?
Does the boycott actually convince people to continue buying bottled soda drinks and not buy SodaStream’s machines that make soda at home? Isn’t the environment a favorite agenda of the left?
Yes, but it is more important to boycott SodaStream because it is employing Palestinian Authority Arabs at wages they cannot earn when working for Arab businesses.
Of course, the reason for that is the Occupation.
Israel is suffering a drought because of the Occupation.
For the record, here is what SodaStream President Yonah Lloyd told The Jewish Press Tuesday: “Despite all the noise in the media about the boycott, I don’t see any impact on consumers or sales.”
The fact is that many people already have rushed out to buy SodaStream machines as a counter-boycott action.
SodaStream has annual revenues of more than $562 million. Let’s say 10,000 nuts don’t buy its machines because of the boycott. The machines are prices from $79 and up, including fizz with a new machine that is equal to approximately $50 in store-bought soda.
That would represent a loss in sales of less than $1 million, or less than 0.2 percent of annual revenues, and it can be assumed that many pro-Israel consumers will buy the machines as a sign of support.
We will leave the bottom line to an analysis by a successful stock market investment letter with the unlikely name “The Motley Fool.
It wrote this week about its Super Bowl commercial that had to be revised after the initial one was banned from panning Coke and Pepsi, “The stock has been moving lower since the company followed up a poorly received third quarter with a dreadful fourth-quarter showing. However, it probably didn’t help that SodaStream gambled by having its ad featured during the fourth quarter of last night’s game. This would have been prime real estate if it had been a competitive game, but the blowout likely had a lot of people ducking out of their Super Bowl parties early to gear up for the workweek…
“The notoriety of having a spot banned worked. SodaStream uploaded the uncensored clip to YouTube a week ago, and this morning the video surpassed 10 million views.…
“Analysts still see healthy growth in 2014 and beyond, but it’s hard to take Wall Street’s optimism seriously until it overcomes the factors that squeezed margins to the point of nearly squeezing all of the profitability out of the holiday quarter.