I think we see 30 today. Trading at 11.5x 2011? I think we can trade up to 18x sometime in fiscal 2011, puts us about $46... possible 50% upside from here.
I agree I think the worst is over and the boomers entering the rx phase will fuel growth. I sold in 08 and I'm going to get back in.
should I change it to 31? this puppy is on fire today. The daily sar last week and now we get a weekly buy on the sar?
Been on fire all week. Well, basically since all the posters were talking about the stock going to $20. Where have all those guys gone?
12x 2011??? Are you kidding me? Thats before the earnings revisions UP!!
Dilution of earning is the key factor going into 4th quarter.1) CCR cost trended upward and were estimated at 55 the higher end of original range, with more store going into conversion.2) D/R costs backend and a higher cost estimate from completing D/R remodelingis more likely to occur.3) SG&A costs higher percentage of sales in the slower summer months of healthcare drug spending.4) Share buy-back that was announced and a special dividend was paid out, also continuing the buy-back plan up to the 2 billion.I think we are seeing this now.5) Marginal pressure on generic prices until the last half of 2011.(see Medco announcement)(CVS dispute)6) Inventory cost increases for drugs going into 2011.7) New store opening cost/Organic growth.These are the Head winds on Net earning going into the 4th quarter, so earning may increase but these factors will be present. The end of the second half of 2011 is where projections are focused.