Journal Communications Inc. Message Board
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back up the truck and run it over!...
why does anyone think jrn is a bargain at 16?
that's 16 times earnings with NO GROWTH AND A DIVIDEND LESS THAN 2%.
at 16 times earnings, you should at least get some growth like penn or a nice dividend like apro.
i can think of a hundred companies that are a better investment than jrn and don't have the huge employee share overhang.-
yes i have watched those, great call.
pretty much the same play though, why do you have both? -
Mike did you check out ADSX and DOC?Talk about flying.Doc UP 50%, ADSX UP 27% since I posted them.There is no end in sight to these 2 stocks.Today the Federal Govt just gave a contract to DOC to track cattle for Mad Cow.This is the same product used in Canada.
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Mike,Do you really believe that JRN wont be UP 10 to 30 % from 16 in the next year?Thats why I believe 16 is cheap.
- 1 Reply to sunrisepop46
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yes, i really believe that jrn WON'T be up 10-30% next year.
1) their earnings will probably actually DECLINE next year, even though estimates are for about flat
2) given #1, who is going to pay 20 times earnings for a company that isn't growing their earnings?
for 20 times earnings you can buy penn that grows earnings at 20%+ and has slots coming in pennsylvania.
if you're looking for value there are still plenty of reits that are paying 8% dividend yields like apro.
jrn isn't a terrible investment at 16, but there are much better places to put your money imho. that said, i doubt jrn will fall much farther from here - fair value is probably around 14.
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