A Market Gem - down, fundamentally sound: Pier 1 (PIR)
My wife loves to shop there, they profit from asian currency crisis, solid growth, increasing margins, meet earnings expectations. Trouble is - noone wants to buy the stock. Stock price rapidly approaching 200 SMA, hasn't closed below for two years or so. I'm looking for an entry (longer term) - any comments ?
FORT WORTH, Texas, June 11 (Reuters) - Home decor retailer
Pier 1 Imports Inc. said Thursday it expects improved results
for fiscal 1999 as its new stores and the remodeling of other
stores improve sales and profitability.
"The addition of up to 65 new stores in North America, the
remodeling of 50 units and the re-merchandising of over 100
outlets as part of the fiscal year 1999 plan should supplement
positive same-store sales and lead to another solid increase in
sales and profit for the company," Chairman and Chief Executive
Officer Clark Johnson said in a statement.
For the first quarter ended May 30, Pier 1 said sales
benefited from a healthy economy. The company today reported
first quarter sales increased 9 percent from a year earlier to
$250.5 million, and same-store sales gained 8.3 percent. Net
income rose 22.6 percent to $15.5 million, or $0.22 a share.
Gross profit margins increased to 43.8 percent from 43.3
percent in the first quarter a year ago. Selling, general and
administrative expenses, as a percentage of sales, decreased to
30.5 percent from 30.9 percent.
REUTERS
Rtr 07:41 06-11-98 |
