Looks like we are getting a higher low
forming...if we get a rotation into the high growth reasonable
P/E chain brick and mortar retailers like BBBY, up
over 10 points today, SPLS could have a nice
runup...as I have stated before the average move up from the
bottom on SPLS, is violent, in a spike form, and is in
the range of 22 to 26% from low to high...if we get a
25% pop up from the nadir of late, or the 19 3/4
area...we are looking at a near term price of 24 5/8 on the
lets move it on up long SPLS...plus IPO coming soon on
the dot.com with a road show to tout it..looks good
of the day. SPLS was meandering like usual for
most of the day and with about 30-40 minutes left it
started tanking with everything else. Then it came back
and finished strong.
With money rotating out
of techs, or at least new money NOT going into
techs, we may see some nice moves here in the next week
or two. The tech guys obviously have less concern
for valuation than most people and will be looking
for high growth non-tech companies and derivative
tech companies like SPLS. Poised for takeoff, perhaps.
copied from RB>>
locations-good aspect of spls ! in my DD on spls i never before
thought about their locations. you are correct. in my
"home towns" the situation is the same. small town in
northern michigan- walmart came in last year ,THEN spls
this year right next door and spls is only one in
town- no omx, no odp. home town #2 Ocala florida- spls
is on state road 200 (the commercial "strip")
bunched in around lowes ,home depot, best buy & near the
mall & walmart(wallyworld is we know it here). odp &
omx are here but in poor locations relative to spls.
also,spls ,like walmart, is going into smaller markets
where there is very high demand for the b2b services
that spls e-commerce is targeting-- believe me , i
know , i'm one who needs the service, as small towns
have very poor to nonexistant services of this nature
Bottom. 19-18. This is it. Trust me, I am the
oracle of Framingham. I know the secret handshake. I
know the color of the Koolaid management drinks in
Framingham, and I've been drinking it. To 19-18 ish, then up
from there, right up to IPO day for STAPLES.COM.
This is your last clue.
T W O
This company announces a "butin" to the
e-business marketplace, and the stock goes down. I don't get
it. I had word that this thing was supposed to "pop".
Now, I'm in at 20 1/8, for a couple of thousand
shares, and I'm beginning to get a little concerned.
What's the story? Is this a go, or not?
No doubt this stock is
undervalued at 20 ish. Trading range prior to last earnings
announcement was 21-28, and SPLS was ready to blow past 30.
Some over-reaction to news that the dot-com biz was
not profitable (duh) sent SPLS to 17's, which we then
rebounded nicely to 23 before settling to 19-20. (Also keep
in mind the 'Nas isn't exactly on fire at present).
Price target is still 35-45. Worst case we give back to
18's, but will go back to mid 20's soon, especially
given the fact of the .dom IPO. My advice would be when
investing in SPLS is to buy moderate amounts at 20-21, then
average your position down if price dips, ie, buy 500 at
21, 250 at 20, etc. Buy until it bottoms, then hold
for rebound(which ALWAYS occurs). Once mid-20's are
achieved you would have netted a nice profit.
There is more selling interest than buying
interest in the short term. We can very well see 17-18
again in the short term. When sellers>>>buyers
even in the event of news as in the past few days
...it's not a good sign at all. Whoever claims that this
is a contrarian signal and thinks it's time to buy,
they might be smoking or drinking something real