True they have free refill and that is a good strategy but quality is terrible. Panera has offered one month free coffee for those who have Panera card and although it was free, I could not stand the bad and watery taste. As they say, tastes are different. Aside from coffee, the valuation is high. Just put a 17 for P/E instead of 27 and calculate the price. Remember I said 17 and not 10.