Hold on Marc and, if you can, average down if it sinks lower. Review your reasons for
buying, then remember that one quarter (usually a weak one in the history of this
stock) does not an investment make. When the other chains close, who do you think
will pick up market share? When Intel debuts Pentium Pro and its multimedia chip,
where do you think upgrades will be purchased? Yes, retail is fighting a new battle
with online purchasing, but the fat lady hasn't sung yet -- wanna bet CompUSA willl
be on the Web too?
Here's food for thought, from Business Wire, via Mercury Mail:
* COMPUSA INC's same-store sales increase fell below analysts'
expectations of a mid-single-digit jump, said UBS Securities
analyst Annie Erner. "Basically, I still think if you compare
results to other retailers, they still outperformed by a wide
margin. They are insulated,'' Erner said, adding that all of its
businesses outperformed the retail side and that technical
services did particularly well. Erner expects the competitive
situation to improve somewhat for CompUSA in the coming months,
as competitor Tandy Corp. begins its planned closing of 19
Computer City stores, several of which compete head-to-head with
CompUSA.
R.S. |
