Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Paul Senior who wrote (15658)	10/17/2002 6:50:51 PM
From: 249443	Read Replies (1) \| Respond to of 78519

Sears and the Competition: The WSJ had an interesting Sears article in the "Money and Investing Section" today -- front page. "S is for Sears -- and Subprime" by Jesse Eisinger Summary of article is: Sears is a value trap despite the cheap 6.6x P/E multiple. The article addresses the L.E. acquisition, Sear's ability to compete against Kohls and others in the field, Sear's appliance division losing ability to compete due to competition, cost structure of S, and the fact/implications of 60% of Sears pre-tax earnings coming from its credit card division -- and how the credit card holders are paying their Sears debt. Who knows if it is a screaming bargain or a value trap? Surely not I. I know I haven't shopped there for 20-years because I become severly depressed every time I enter the store, I can find better prices elsewhere, and customer service is lousy.