Let me say off of the bat that I own Jamba at $4.50. It got killed after that, but I have no worries about it at all. I've been investing for a long time, and I've seen this before.
Jamba is a fast growing company trading below book value. It's not even a matter of if it's going to jump, but when. And when is likey as soon as the fear selling calms down.
Jamba is not one of those $3 spec stocks of a little known company. Jamba is THE leader in the smoothie industry and one of the big names in the health food industry, which will grow indefinitely.
For the guy who says he's never had one, that's cool. I've never eaten at Jack in the Box, but I know it's a popular place. In California, where I live during most of the year, Jamba is huge. People go to Jamba like they go to starbucks or doughnut shops in most places. If you want a healthy treat, Jamba is the first place on peoples minds. Of course, in So Cal healthy eating has long been a part of the culture. That's starting to make it's way around the country.
Jamba has an elite management team. They've had tremendous growth (slowing it down a bit is not a bad thing). Their sales continue to rise (even if you haven't had one yourself). Even their same store sales rose almost 4% in a slow economy. And, they have a new line of products coming out at the beginning of next year.
I'm not trying to convince anyone. Really. I just see so many negative answers to your question by people who obviously haven't followed the company. Many stocks are falling due to fear. If you judge by that, you may as well get rid of Cisco, JC Penney, Starbucks, etc.
A company like this, selling at this price is a give me in the long term. In the short term, it could fall some more, or it could jump by 40% tomorrow. It's hard to say. I grabbed it when it was just too good not to. It fell. I wish I had waited, but I'm not upset. I've learned that if you buy a solid company at a good price, you'll be happy in the end.
Jamba will hit $8. It could be in three months, or in two years (if next year's economy is really that slow).
