Pacific Sunwear at current levels is one of the
most attractive buys I have found. They've already
established themselves in California where the clothes they
sell have been in style for youth for awhile now. And
I've seen them in malls across the country now, and
they always seem to be doing well. Californians
whether we like it or not are ahead of the rest of the
country in clothing style, at least when in comes to
youth, and the rest of the country's youth are just
beginning to wear the surfer/punk look. I know for
instance, in Louisiana, last year I visited my old home
town and all my friends little brothers dressed like
their Californian counterparts. I was only gone for a
year. Now some parts of the country follow more
closely, but PSUN still has a lot of market it can grab.
They seem to have a solid business plan, and they have
lost almost all of the stock gains of the year. Down
nearly 9 percent on increasing sales? This compnay seems
to have a high beta, but Its buying time..
Boys don't squabbel. Lets move on to some
productive strategies & discussions. We would all like to
buy low & sell high. Some can do it better than
others, with more shares, call it Vegas or intuition,
whatever. When is the August report due??
Based on your last message, this alias is a poor
excuse for a lame insult. I could change my name 10
times and insult you as well, but I won't. Enjoy your
journey into adulthood. This is a reprint of the letter I
responded to. You wrote: My method stmills46
I have learned that most investors are
stupid sheep. They buy into a stock after it runs up
because they now have reason to believe in a company.
They simply follow everyone else. As the trend
reverses or corrects, they jump ship because they are
scared. The market is in a panic. I sit on cash and wait
for corrections, like now. I plan to buy 500 shares
of PSUN. I put in an order for 150 at 20 and it
filled. If we see 15 - 17 I will buy 150 more and 12 - 15
200 more. Buy stock when it is getting hammered for
NO FREAKIN REASON
Stupid Investor? I said I just bought PSUN based
on it's fundamentals. I also said I've been unlucky
w/ my investments lately, not panick selling. At
least I earn enough money to buy my shares in the
1000's, not 150 at a time.
It's good to see a long term investor. I have
made the mistake of buying and selling PSUN since its
IPO, and had lost lots of money by not keeping with
the stock. I recently bought in again, but got kind
of worried, as it was declining (for other reasons
than great fundimentals). When I get nervous, I tend
to go take a first hand visit to the stores to see
what things look like. (Makes me feel like Gecko in
the Wallstreet movie). In the last two weekends I
went to visit their store, this one in Westminster
Mall in CA. It is incredible how packed the store was
today (Saturday). Taking a visual survey of people in
stores, PSUN had tons of kids & young adults buying. What
was interesting is that a GPS store is two stores
down, and it was like a ghost town in there. It appears
the items in GPS are not the same as PSUN. GPS stock
recently went south, which concerned me at first. So I had
to go take a look, and found their stuff just
doesn't attract youth. Kids want cool stuff, and PSUN
brings them what they are willing to buy.
personal observations of the volume of sales going on, I
am much more calm now, and am positive that sales
will be great in August/September. Things are going
well. If you all sell now, you will miss the rebound
that PSUN is known for. Take it from one that has lost
lots of money by buying and selling this stock. Don't
sell!!! Back to school sales are strong, which will bring
PSUN great earnings. If you don't believe me, go play
Gecko and visit one of their stores (but be sure to
ware some elbow pads!!!). Now I can sleep at night!!!
I have learned that most investors are stupid
sheep. They buy into a stock after it runs up because
they now have reason to believe in a company. They
simply follow everyone else. As the trend reverses or
corrects, they jump ship because they are scared. The
market is in a panic. I sit on cash and wait for
corrections, like now. I plan to buy 500 shares of PSUN. I put
in an order for 150 at 20 and it filled. If we see
15 - 17 I will buy 150 more and 12 - 15 200 more.
Buy stock when it is getting hammered for NO FREAKIN
I've owned PSUN since it was at $10 a share. All
you short-timers need to reevaluate the way you
handle your stock. Of course you're going to get burned
if you buy and sell all the time, you don't have the
insider information that the high rollers
This stock is a steal at $19! Think about their
customer base. Teenagers with almost 100% expendable
income that they earn in their part time jobs at
McDonalds. Even if the economy goes into the toilet, teens
are still going to spend money on things that enhance
their image among peers. Basically, they are virtually
independent of economic cycles.
Think about their
competition. There is little to none. They have the Gen X
niche. I see kids wearing the most ugly and most
oversized clothes these days. Pacific Sunwear is about the
only place that has shelves filled with that
Think about their same store sales.
Same store sales revenue increases are always in the
This is a top-notch company with a
P/E of 22. That's the lowest I've seen in the three
years I've held the stock.
If you follow the
flock and get out of this stock, you will get burned.
My recommendation is BUY, BUY, BUY!
high-priced goods such as cars, electronics, computers, start
losing sales from this market downturn, the big boys on
Wall Street are going to be looking for growth
companies. PSUN will fall back into their favor.
it takes is a couple of double-digit growth results
in a bearish market to catch their attention.
Just be patient and keep buying, because PSUN is
having a fire sale today!