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Non-Tech : DESIGNER HOLDINGS

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To: Chris who wrote (45)7/31/1997 8:35:00 AM
From: Warren Keschner   of 86
 
I use technical tools to evaluate stocks. Based on these tools, the stock seems oversold at this point. That does not mean it cannot still spike down on negative earnings release, but that would be a time to buy, not to sell. This is also a short term opinion. Fundamentally, the book value is about $6.00-assuming they do not loose money this quarter, there is not much downside risk at $7.00 or lower. Retail stocks seem to picking up a bit-it would make sense for manufacturers to follow suit(DSH does both retail and manufacturing). In retail in general, brand name means everything and CK has a great brand name. If earnings are dissapointing and stock spikes down I would pick up additional shares and sell out on the next spike up.
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