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courseofhistory

(801 posts)
Wed Nov 14, 2012, 11:38 AM Nov 2012

Shares in Papa John’s International have been tumbling since last Thursday

Meanwhile, shares in Papa John’s International have been tumbling since last Thursday, falling from $51.70 at market close Wednesday to $49.22 on Monday, a 4.2% drop.

So how much would prices go up, under these 50/50 conditions, if they were to fairly reflect the increased cost of doing business onset by Obamacare? Roughly 3.4 to 4.6 cents a pie.

Some seem to think my analysis suggests I don’t appreciate a business’s duty to shareholders to maximize value. That is not in dispute. But (given the parameters I set up), using Schnatter’s figures, the costs his company will incur due to Obamacare are not equal to the pie increases he mentions. Those pie increases would more than make up for damage done to the company’s net income through increases to operational expenses. Of course, if he thinks it won’t harm the bottom line, he is absolutely allowed to increase prices further. Given inflation and expansion, his other expenses will obviously increase in the following years too. But attributing all price increases to Obamacare would be disengenuous.


http://www.forbes.com/sites/calebmelby/2012/11/12/breaking-down-centi-millionaire-papa-john-schnatters-obamacare-math/
32 replies = new reply since forum marked as read
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Shares in Papa John’s International have been tumbling since last Thursday (Original Post) courseofhistory Nov 2012 OP
:) anti-poopyhead Nov 2012 #1
Good one courseofhistory Nov 2012 #4
Papa Jerk gets a smack down from Karma. sarcasmo Nov 2012 #2
He's gettin' a taste of karma on his thin crust soul. ancianita Nov 2012 #3
Choke on your lousy pizza papa! workinclasszero Nov 2012 #5
I didn't know that about Little Caesar's Jeff In Milwaukee Nov 2012 #14
Me either till I read about it here on DU yesterday workinclasszero Nov 2012 #20
Another great thing about Little Caesars is Bill219 Nov 2012 #23
He admitted that the company would contract Bad Thoughts Nov 2012 #6
Coming Out Very Publicly Against the Guy Who Won a Landslide Victory... AndyTiedye Nov 2012 #7
He's also sending a message... Jeff In Milwaukee Nov 2012 #15
... and sending a message that he's just fucking greedy. Myrina Nov 2012 #21
well, then there's that (nt) Jeff In Milwaukee Nov 2012 #29
The whole market has been going down though...... Uben Nov 2012 #8
Exactly correct Uben. Not a lot of analytical thinking going on here. HERVEPA Nov 2012 #10
Could be both and I don't care what courseofhistory Nov 2012 #12
LMAO!! MightyAfrodite Nov 2012 #9
Don't forget Sony. BouzoukiKing Nov 2012 #27
Who would want shit on cardboard. santamargarita Nov 2012 #11
Shit eating conservatives. lastlib Nov 2012 #13
About 13 years ago I ordered a PJ pizza and we had to throw it out! young_at_heart Nov 2012 #16
Way to go, Porta John's! xfundy Nov 2012 #17
As a person privileged to grow up in an "Italian kitchen" home..>>> Tonkinlievet Nov 2012 #18
don't have a papa johns Filibuster Harry Nov 2012 #19
Let's be sure to let his new poster boy, Peyton Manning, know how we feel too ... Myrina Nov 2012 #22
I just took Ploppa Johns off our list of recommended eating places. Chipper Chat Nov 2012 #24
I guess the markets ... 1StrongBlackMan Nov 2012 #25
Good. BlueDemKev Nov 2012 #26
K&R nt ProudProgressiveNow Nov 2012 #28
A boycott would take months to be relected in the financials and stock price. former9thward Nov 2012 #30
Shares are in the John, so to speak Blue Owl Nov 2012 #31
It is so easy to send a message with your dollars. UCmeNdc Nov 2012 #32

anti-poopyhead

(12 posts)
1. :)
Wed Nov 14, 2012, 11:41 AM
Nov 2012

Liberals stop ordering from PJ, conservatives double down on it, as a result they'll be more fat and sick and America will become more blue with time.. sounds like a good plan.

 

workinclasszero

(28,270 posts)
5. Choke on your lousy pizza papa!
Wed Nov 14, 2012, 11:48 AM
Nov 2012

I spent 28 bucks at Little Caesars pizza yesterday. The owner gave $$ to the Obama campaign and gives his workers health ins.

I did give Papa John's the bird as I drove by though!

Jeff In Milwaukee

(13,992 posts)
14. I didn't know that about Little Caesar's
Wed Nov 14, 2012, 12:23 PM
Nov 2012

I'll put them on my list of approved pizza providers.

What? You DON'T have a list of "Approved Pizza Providers?" You just leave that sort of thing to chance? WTF?!

 

workinclasszero

(28,270 posts)
20. Me either till I read about it here on DU yesterday
Wed Nov 14, 2012, 12:49 PM
Nov 2012

I love this place! All the important info, right here!

Bill219

(1,235 posts)
23. Another great thing about Little Caesars is
Wed Nov 14, 2012, 01:16 PM
Nov 2012

their Little Caesars Veterans Program which provides financial support and equipment for veterans who want to open Little Caesars stores of their own

AndyTiedye

(23,500 posts)
7. Coming Out Very Publicly Against the Guy Who Won a Landslide Victory...
Wed Nov 14, 2012, 11:50 AM
Nov 2012

...just might not be all that good for business.

Democrats are taking their business elsewhere, and even the politically apathetic don't like a sore loser.

Jeff In Milwaukee

(13,992 posts)
15. He's also sending a message...
Wed Nov 14, 2012, 12:25 PM
Nov 2012

that his company might not be financially stable. If something like this is going to cause a financial hardship, it speaks to the management of the company. As an investor, I might be inclined to stay away.

Uben

(7,719 posts)
8. The whole market has been going down though......
Wed Nov 14, 2012, 11:50 AM
Nov 2012

...so how can you attribute the drop in price to any boycott? Just wonderin.

courseofhistory

(801 posts)
12. Could be both and I don't care what
Wed Nov 14, 2012, 12:14 PM
Nov 2012

it's attributed to as long is it's going down. Boycotting would be a nice reason tough.

MightyAfrodite

(157 posts)
9. LMAO!!
Wed Nov 14, 2012, 12:02 PM
Nov 2012

I guess he'll keep his fat mouth shut now, won't he?

These CEOs are amazing. What? They think we can't live without their products and/or services?

Please.

(Although, I have had to make myself a list to remember who all I'm boycotting; and the list just keeps getting longer and longer.)

Walmart Black Friday --- CHECK!
Papa Crap's Pizza --- CHECK!

BouzoukiKing

(163 posts)
27. Don't forget Sony.
Wed Nov 14, 2012, 02:47 PM
Nov 2012

I haven't bought a Sony product since it was discovered that they'd installed root kits via their music CDs onto the hard drives of everyone who listened to the CD on a computer.

But they doubled down on assholishness when they violated their original terms of sale on the PS, and changed the firmware without consent, so people couldn't install a different operating system on the devices - an installation which was originally a major, Sony-advertised selling point.

And now, of course, their whole online-games thing.

Maggots.

I own a Sony product when you pry one into my cold dead hands...

young_at_heart

(3,772 posts)
16. About 13 years ago I ordered a PJ pizza and we had to throw it out!
Wed Nov 14, 2012, 12:33 PM
Nov 2012

It's the only one I ever bought and it was absolutely the WORST pizza I've ever tasted!

 

Tonkinlievet

(12 posts)
18. As a person privileged to grow up in an "Italian kitchen" home..>>>
Wed Nov 14, 2012, 12:41 PM
Nov 2012

I hold almost ALL commercial pizza in scorn.....But especially that scumbag's product!!

His total lack of business sense, demonstrated by his alienation of more than half of the electorate, is only surpassed by his inability to produce a product that even remotely could be called "Apizza"...(that's how my "Calabrese" grandparents said it!!)

Filibuster Harry

(666 posts)
19. don't have a papa johns
Wed Nov 14, 2012, 12:48 PM
Nov 2012

Fortunately or unfortunately i don't know of any papa johns in my area. But here's a guy on an add giving 1 million or 2 million of pj pizza for free but he wouldn't be able to afford his employees health insurance?
Freakin' ridiculous.

Myrina

(12,296 posts)
22. Let's be sure to let his new poster boy, Peyton Manning, know how we feel too ...
Wed Nov 14, 2012, 12:59 PM
Nov 2012

Manning just bought 20-something PJ's franchises.

 

1StrongBlackMan

(31,849 posts)
25. I guess the markets ...
Wed Nov 14, 2012, 02:26 PM
Nov 2012

are reticent to invest in a "businessman" that makes business decisions based on political ideology.

Makes sense to me ... I would prefer that my doctor not make decisions on my medical care based on his/her political ideology, either.

former9thward

(32,082 posts)
30. A boycott would take months to be relected in the financials and stock price.
Wed Nov 14, 2012, 03:42 PM
Nov 2012

The entire market has been in a slow motion crash since Wednesday.

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