I think its in the process of putting in a significant bottom here which will probably be complte within a week or so. The pattern itself is an extremely reliable, ending diagnal that began about 30 trading days ago. So far, we've completed 3 waves down. One more up-down sequence should do it. Once complete, the strongest part of the upmove, a 3rs wave lies dead ahead...I predict we take out our 1998 highs within 1 year.
I think the decline is going to continue for a while - great brands, but mediocre managment, just like CAG. And let me say that its been painful watching that one quickly bleed over the last few weeks.
My feeling is that SLE is going down to $18 by the end of the month. At that point, I think its a buy.
FD: no SLE position, long CAG (sigh), not a believer in Technical Analysis
I posted my beliefs about a month ago. People are right, this Company is going to continue paying dividends so I don't see the price dropping significantly. However, the situation with the turnaround dragging out is negatively impacting earnings in the interim so I believe an attractive purchase price is around $19 (as mentioned in my previous post - $18 if you are very patient and get lucky enough to see it go that low). I would write puts all day at $17.50 or less though, this thing just isn't dropping below that due to the strong dividend (won't ever go below $18 IMO). I will be buying at $19 in the next 3 months - you can bet that.