We all know that there's a huge element of luck in buying/selling stock. So I thank you for the comment, but still realize that crossing fingers and toes can sometimes be just as good as knowing all the facts when investing.
Are you crazy? Lol, First things first Big 5 has become very efficient with costs, two....the guns and ammo sales are skyrocketing (every store I go in has empty firearms shelves), three....everyone goes to Big 5 to save money. Why then is Sports Chalet losing so much money with their high prices and Big 5 has been smokin hot?
Who's the idiot that just dumped all those shares the last 2 days? This stock will be at $25 by yrs end! Just look at the #'s! Some fund manager needs to get canned.
Sentiment: Strong Buy
I think that you're a tad overly optimistic, but it should more than likely break $23 sometime in the next 12 months. Which makes for a pretty hefty profit. The fund managers that are selling at these low prices need their heads examined.
I've got a feeling that SunTrust Robinson Humphrey David Magee(or friends of) are getting ready to accumulate BGFV. Who wastes all that time analizing a stock to announce a 2 cent downgrade on expectations. Especially when the earnings were suppose to fall between that range anyway. These analysts have always been agenda driven. Get ready for the bounce back up real soon.
1) Over the last 4 yrs BGFV has averaged $30 million in net income per year.
2) Has opened about 19 new stores a year, on average, over the last 5 yrs. (And plans on raising that number).
3) Return-On-Equity is at an unbelievable 30+%.
and 4) (This is the killer) Has gone down almost $2/share over that 4 year period.
1) Lets see, I have less money to spend because my motgage went up, so I guess I'll stop buying less expensive shoes at Big 5 and just wear these worn out ones for another year.
2) April was the month that I realized that I had no money left because of my mortgage went up.
3) Yeah, management is way too optimistic....even though they beat there estimates about 80% of the time over the last 5 years.
4) The average Joe is spent out, that explains why the stock market breaks a record high every other day.
It's obvious that Big 5 has been way under valued for the last several years, and that it has been slowly adjusting upward for the past several months, and will continue until it gets a few dollars over $30 pps.
We got over the speed bump(warehouse), and it's obvious that Big 5 is going to post big gains for the next several quarters.
Wow, all that selling and were up somewhere in the neighborhood of 12%. Can you please explain to me what's going to slow this stock down?
I forgot to mention that when BGFV catches up to where it should have been (before the wahrehouse and some accounting issues which are now cleared up), that would place it around $30 pps by years end. --- I predict
A couple of reasons...First- it just became obvious that Big 5 was down the last quarter due to the opening of their new distribution center (much higher expenses than had been expected), Second- sales came in much higher than expected, Third- Big 5 is going to buy back more than a few of their shares and also pay higher dividends on the rest of them. there's more but that's the meat of it.
Zin, why don't you really tell us why you hate Big 5? You have bashed and bashed and bashed. What gives? What's really sad is that I get the feeling that you own Big 5 stock. Verdad?
Please, if you could, explain how a company can be over taken if a single family owns more than half the shares?