Reeds Inc. (REED)

[gfp927z]

Yes, the stock had such a huge move in 2012 that it needed some consolidation. To maintain the higher pps levels would have probably required Q4 revenues of 9 or 10 mil. Since that hasn't happened, the big question now is how fast Kombucha sales will ramp up in Q1 and Q2.

Chart-wise, looks like a wide support band in 3-4 area. If 4 doesn't hold, I figure anything in the mid/low 3s would be a great entry point longer term if one believes in Kombucha.