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Strategies & Market Trends : Range Bound & Undervalued Quality Stocks -- Ignore unavailable to you. Want to Upgrade?


To: Larry S. who wrote (1814)4/14/2000 1:20:00 PM
From: JakeStraw  Respond to of 5499
 
Larry, Like I said, I really don't follow retailers. My reasoning is as follows:
1) Just beacuse JCP has a reasonable p/e and a nice yield does not make it attractive in my eyes. It sells at that p/e for a perceived (right or wrong) reason.
2) WMT on the other had does have a high p/e, but sports it for a reason also. It's a gorilla & IMO will continue to be one for the forseeable future.
3) This is just my opinion, so keep that in mind...



To: Larry S. who wrote (1814)4/14/2000 1:28:00 PM
From: Esway  Respond to of 5499
 
Just don't see how you can go wrong with a 7.90% yield while you hang on for around 20 on JCP. However WMT is a great company. Have noticed JCP starting to advertise a whole lot more than in the past. Many tv ads lately about special sales etc. Buy here at 14 and collect your 7.90% and sell 17.5 calls every month for around 1/2 or more till you get taken out...should provide a nice return IMO.