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Non-Tech : Claire's Stores (CLE) NYSE

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To: BYRON S DOHERTY who wrote (211)1/29/1997 4:26:00 PM
From: Uncle Mikey   of 619
 
The consensus of 8 analysts reporting to ZACKS calls for full year earnings to be .99 cents They are also looking for .51 cents for this Q , last year same Q was .42.

So .95 - .96 looks lower than expected, not bad though considering the stock is presently valued at 15x this year's earnings, and earnings increased 44% from last year's .66 . The target next year is for $1.12, about an 18% jump from this year.

I don't know though, the market is pretty rough on those who disappoint. On the other hand, if you have this information, then the big guys are sure to have it too, so the price may already be taking all this into consideration.

This stock has not generally traded at a high PE. In fact the PE has usually been less than the growth rate. It it traded at the 18x profits are expected to jump then "fair value" would be about $20. If it trades at it's more traditional 15x rate then $17 would be a rough target.

Stock did well today, up 3/4 last time I looked.
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