Pulse Beverage Corp(OTCMKTS:PLSB) shares were up over 50% in one day recently, after it announced its acquisition of a Texas-based grocery chain. Now, the stock could continue to run higher and build momentum, since the company is expanding its distribution and offerings to various locations. That in mind, this could be a key driver of revenues and earnings, and investors might start to get into PLSB, in anticipation of a potential run higher.
Pulse Beverage Corporation is an emerging beverage company that offers various drinks, such as Natural Cabana Lemonade and Limeade in 7 great tasting, low-calorie flavors, and Natural Cabana Coconut Water in pineapple and natural flavors. Pulse Beverage Corp has revamped its business model, and it’s looking to utilize its warehouse direct and key accounts. Now, Pulse directly teams up with some of the largest retailers like Walmart, Albertsons/Safeway, Kroger, Stater Bros, Food Max, Houchens, Kmart, 7-Eleven, United C- stores, Weis Markets, King Kullen, Hy-Vee Supermarket, WinCo Foods, Price Less Markets, Gristede’s Foods, Toot n Totem and Travel America.
Pulse Beverage’s newest acquisition allows it to offer its Natural Cabana Lemonades and Limeades to Fiesta Marts in the greater Houston, Texas area. Fiesta Mart currently has more than 60 separate store fronts, and this should increase Pulse Beverage Corp’s revenue and earnings potential. According to Pulse Beverage Corp(OTCMKTS:PLSB) CEO Robert Yates, “We are very pleased to expand our reach into Fiesta Mart’s grocery chain and provide their customers with the best tasting lemonades and limeades in the industry. Houston, being a large area in the sunbelt region of the United States has many thirsty customers who are now able to purchase and consume our refreshing beverages.”
Yates also stated, “We think that we are getting significant traction in the sunbelt, particularly Texas where consumers have a natural affinity for our products. The hot weather for most of the year provides us with a great opportunity to expand our brand awareness. We anticipate that this new relationship will get us in front of additional opportunities throughout the sunbelt in the upcoming months and we look forward to announcing additional distribution wins in the near term.”
Now, this was not the only strategic move Pulse Beverage has made in order to increase its earnings potential. In late July, Pulse Beverage announced it signed on KeHE Distributors to provide national distribution coverage for its products. The company delivered its products to KeHE’s Dallas, Texas distribution center and used KeHE Distributors to provide PLSB products to various Texas based grocery stores and chains. Moreover, the company noted it would be delivering its beverage products to other KeHE distribution facilities in California. Now, this could lead to Pulse beverage distributing to all of KeHe’s 17 distribution facilities in North America.
When speaking on this additional distribution coverage, Yates stated, “We are very pleased to partner with this prestigious grocery distributor, KeHE Distributors who has a stellar reputation for bringing quality natural brands to their customers throughout North America. KeHE will soon be stocking our beverages in all of their distribution facilities. We started in Dallas and will move forward in California shortly thereafter. We would expect KeHE to be distributing our products in all 17 North American geographies within 6 months.”
Pulse Beverage Corp (OTCMKTS:PLSB) seems to be rapidly expanding its distribution to various grocery stores and chains across Texas, and it could lead to strong earnings growth in the future. If you missed any of this news, you’ll want to keep an eye on Pulse Beverage because it could potentially be an M&A target for large multinational corporations. Moreover, if it continues to expand its operations, investors might start piling into the stock, on the long side, in anticipation of robust growth rates. That said, you should consider signing up to our free newsletter, because we would help keep you up to date on PLSB news, if any, that could potentially drive the stock higher.