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Strategies & Market Trends : Buffettology

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To: Spekulatius who wrote (3741)1/26/2006 10:34:52 PM
From: Shane M  Read Replies (2) of 4691
 
BBBY is an interesting stock. I've owned it and sold it (I bailed on worry about declining home sales, weak christmas, high gas prices, etc - basically I got out of entire retail sector) but it's on my watch list again. I haven't purchased again, but BBBY definitely looks like the kind of stock I like.

BBBY seems to be at the stage in life for a stock where multiple compression is a big risk. Growth is clearly slowing and it's slowing fast. But they get great return on capital and ROE, have increasing margins.
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