Somebody please explain this stock to me. I've been watching this stock for about 2 months and simply can't find anything wrong with it. I originally bought in at 17 1/2 and went to bed kicking myself last night for not loading up in the 13-14 1/2 range before these excellent earnings were announced. Imagine my surprise to actually find the stock DOWN today after not only the great earnings announcement but a future earnings estimate upgrade to boot! I keep looking and looking at this stock and just can't find it's downside. It seems to me a fair valuation of this stock would be around 30 (maybe more). I tripled my position today at 14 1/8 with the P/E ratio at 10.09 and feel like I'm the only person in the world who sees what a GREAT buy this is. I'd really like some constructive negative critisism on this stock if there is something out there holding it down I'm not seeing.
Otherwise to all you longs freaking out about this slump, stop worrying. You shouldn't be talking about cutting your loses at 14, you should be loading up for what seems to me to be an inevitable runnup.
I believe you miscalculated the PE ratio. It should be 12.72 at the full earnings of $1.11 for year end. Once again, I believe we are shaking out more weak hands that aren't in the enviable position some of us else are. We KNOW what GREAT shape ELBO is in, we KNOW what a bright future they have with what is in the pipeline, 14% SSS, 100 new stores, possible IPO or acqisition, or affiliation with a MAJOR portal. ELBO WILL BE 28, IF NOT SOONER, THEN by Christmas!!!
regarding all the "good stuff" you posted on ELBO's side of the ledger, and although this may not be significant, it is to be "potentially" added to the plus column for ELBO.
If ELBO PLC (U. K. based) successfully completes the acquisition of GAME, the UK competitor of ELBO PLC, then ELBO (Electronic Boutique Holdings) benefits because ELBO receives a 1 % royalty on all sales. I suspect ELBO (U. S.) derives other monetary benefits also, but the royalty, based on top line sales, comes immediately to mind.