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


To: rjm2 who wrote (17362)7/6/2003 10:55:04 AM
From: Bob Rudd  Respond to of 78958
 
STRZ: <<I think 55 cents might be too high 40-50 cents maybe.>>Sounds about right. I figure this quarter's reported .38 adjusts to .206 after adding back impairment and taking out the legal settlement 'gain', both non-cash & non-recurring. The quarter is typically about a third of annual revenues, so EPS from the rest should aggregate to a bit over this one considering higher % of fixed costs.
@.40 EPS, PE would be <6...cheap, but will anyone notice given the tiny cap?



To: rjm2 who wrote (17362)7/6/2003 1:26:51 PM
From: jeffbas  Respond to of 78958
 
I took a look at the YAHOO profile and two things stood out. They appear to have a bunch of chains with a modest number of stores in each; also, a high debt load. Thus they do not seem to be in a position to build a franchise with any of the chains.