SodaStream Stays Bubbly in Volatile Region
Israel-based soda machine maker SodaStream was keeping business as usual, even amid rising violence before a fragile truce with Hamas took hold this week, CEO Daniel Birnbaum told CNBC's "Fast Money's Halftime Report."
"Part of winning is not folding," Birnbaum said Wednesday. But he had no answer for why his company's stock has been "reacting as volatile and weird as it is," after SodaStream showed nearly 50 percent growth in the past three quarters.
"Investors can also make mistakes," he said.
In the last four trading days SodaStream dropped below $33.20 before recovering to above $36.40 Friday, but is still down more than 20 percent from year-to-date highs, and nearly 50 percent off a mid-2011 surge.
SodaStream machines offer an alternative to buying bottled, carbonated drinks that cuts down on container waste and can pay off economically in the long run. The company has announced deals with Wal-Mart and Kool-Aid maker Kraft.
The U.S. accounts for just 28 percent of sales — the company is in 45 countries — and there is a lot of room for growth, he said.
Of the Israel-Palestinian conflict, he said: "It's a tragic situation and it's a troubling situation that's really disturbing many people in Israel."
"But it's also inspiring to see how the Israeli people and also my people at SodaStream focus on business as usual," he said. "The lines are running 24/7. We're cranking product out. Taking orders. We've not missed a single delivery, and we've already completed the delivery of the holiday season."
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