If they have good earnings, I would expect a 20% pop up. End of August, $34
Call me crazy but if there good there is much more upside then down. If they are poor, we drop another 5% End of August maybe $22
MUCH MORE UP BY FAR THEN DOWN
So this J.C.M. initiates coverage with a Sell (shades of GS a year ago), sure would have been nice if she'd done that at $40 or $35, but now at $23? While S&P says something like E of $2.50 to $2.60 for the next couple years (their best guess). Folks kinda expect Q and Special Divs of most of that E, say $2ish, balance sheet says low risk but "teen" retail always leaves you wondering.
Still, looks to me like the perpetual analyst confusion on that buy-sell-low-high stuff, but guess thats just me....
If this double dip recession thing starting from 10% unemployment gains steam ain't too much retail (or stocks) gonna look very good.
yep, I'd guess just like last year when it goes ex-div on a possible special, nice buy op. they really would be better off raising the Q div under a firmly stated policy that going forward divs will be adjusted to cash flow, Q divs don't need be cast in stone. (different world, but lil FRD handles divs that way, has for years)
Looks like a new analyst has initiated coverage of BKE with a "sell" rating. If S&P lowered fair value to 26$ it's hard to imagine strong buying at almost 24$ with 5-6 months of weak sss numbers expected. A 20% margin of safety would indicate plenty of support around 21$ I don't know if it will get that low right now because everyone expects a special dividend, but if they pay a special, I wouldn't be surprised to see the price crash down to that level after the payout.
12 mo target $30, worried about teen spending and teen unemployment as factors. Says store count 412, 1 NY and 2 NJ now. Hold rating but likes them in general, high quality/risk ratings. not sure where the double dip story is sitting right now, never happens except when it does. fashion / teen retail risk, PE avg 15, 7-20 range.
you make a good point. I like the company but just don't like the way the stock is acting. I also have become skeptical about earnings as most all of the retailers have had short falls in some form or fashion. I will be back if it gets beaten up and hey at the end of the day I made $500 on my day trade so no worries here. GLTA longs and shorts alike.