j: Just checked...Wal-Mart has 53ll stores. Anybody know how many Target stores there are?
Some months (it seems like months) back, I went out on a slender limb suggesting that a $4.00 year for Radica might be attainable, and with a trailing PE of 10 - 12 (like now), we'd have a nice $40 to $50 stock price. If during this year folks still judge these games to be "fads", then we may not get much of the PE expansion that would really propel this company. On the other hand, with new games (most of them not yet on the hooks) and TV (not yet runnning), we could get that expansion, especially if the earnings come in strongly.
Certainly there are some "staples" in the line...steadies like the casino stuff, and hot sellers. If the investing community sees a steady stream of "new" products as well, all of us are going to have lots more people to whom we can later sell our stock at much higher prices.
Let me get way ahead of myself here and raise a question for the guys who've seen situations like this before. Assume we get good earnings growth, assume we get new products, assume we get PE expansion. When do we get another major pullback...a time to take profits and await a recovery during 1999? Anybody want to take a stab at that?
Another one...I haven't done a lot of margin buying, but I'm very, very tempted here....but I don't want to live too dangerously. At what point do you feel a margin buy becomes imprudent ...25%...30%? (I don't know the first thing about options, and while some of you may feel comfortable with them, I don't think I would be...)
Also, could we work on some more retail readings please. Let's try to build a "national" picture for ourselves and then keep it current. If you want, e-mail me the numbers you find, your area, and I'll turn the raw stuff into a "report" for the thread. I'm ced@gte.net. Chaz.
|
