3 Things That Can Make Sodastream International Ltd. (SODA) Pop: Cott Corporation (USA) (COT), The Coca-Cola Company (KO)

The Coca-Cola Company (NYSE:KO) had a novel idea a few years ago: It put out a line of its signature Diet Coke packed with vitamins and minerals. An 8-ounce serving of Diet Coke Plus packs 15% of the recommended daily intake of niacin and vitamins B6 and B12, as well as 10% of the suggested daily levels for zinc and magnesium.

Diet Coke Plus hasn’t exactly taken off, but there’s still a market for functional beverages. Why else would The Coca-Cola Company (NYSE:KO) have spent billions on the vitaminwater brand?

Green Mountain Coffee Roasters Inc. (NASDAQ:GMCR) last year introduced a Wellness Brewed line of K-Cups loaded with antioxidant vitamins and minerals. At a time when sodas and coffee — and energy drinks, for that matter — are coming under fire for health concerns, the smart path appears to be to play the wellness card.

Wellness drinks haven’t really taken off for The Coca-Cola Company (NYSE:KO) or Green Mountain, but they settle arguments. They offer alternatives. Then again, who knows if it would be what works for SodaStream, as the home-crafted nature of its beverages opens the door for more label-reading than usual.

3. Keep on winning
A key ingredient to generating market-thumping returns is to beat Wall Street’s profit targets. Sodastream International Ltd. (NASDAQ:SODA) has done that with surprising consistency since going public nearly three years ago.

SodaStream needs to keep doing exactly that. Landing ahead of Wall Street estimates isn’t just about the quarterly wins. They add up over time. Many consumer-facing stocks have seen their bottom-line projections hosed down in recent months. That’s not SodaStream. Analysts have gone from targeting $2.87 a share in 2014 earnings three months ago to $3.20 a share now.

In other words, if you think SodaStream is cheap at 15 times next year’s earnings, just keep watching that estimate creep higher with every passing beat.

Sodastream International Ltd. (NASDAQ:SODA) stock’s just waiting for an excuse to pop.

The article 3 Things That Can Make SodaStream Pop originally appeared on Fool.com.

Longtime Fool contributor Rick Munarriz owns shares of Green Mountain Coffee Roasters and SodaStream. The Motley Fool recommends Coca-Cola, Green Mountain Coffee Roasters, Monster Beverage (NASDAQ:MNST), and SodaStream and owns shares of Monster Beverage and SodaStream.

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