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

To: Junglekings who wrote (28073)	9/15/2007 3:27:23 PM
From: Paul Senior	Respond to of 78744

DDS. Junglekings, I've looked a little closer -- not much though - and here's where I am now regarding Dillard's: I vaguely remember something published about Dillard's having a hidden asset in its real estate. I can't find any documentation or analysis though. I've gone back to your website and don't see anything that gives me any further insight as to how that value might be calculated, who has done it, or why or to whom that real estate - which I assume is primarily big box buildings? - might be valuable. For me, given my lack of knowledge about this real tangible value vs. stated book value, I'm going to stick with stated book value. The question for me then is what return does the company get on its stated book value? Answer: It has averaged a lousy 5.2% over the past ten years. The significant thing is though, as you mention or allude, is that you can buy the stock for a lot less than it's current stated book value/sh. So I feed all this into my models, and I come up with the conclusion, that yes, DDS is a value at current price. Somewhat confirming historically -- over the past five years --, anyone who's bought at today's current price and held for a while, has seen the stock move up -- and such a person has been able to get out profitably if desired. finance.yahoo.com For me though, I stick with my view of the stock as being a glass half-full/half empty situation where I take the half-empty (i.e. negative) viewpoint. The stock has traded lower on it's book value, there's no evidence the company can improve its paltry returns, forward p/e looks high, and a takeover of the company/stock doesn't seem imminent. I'll put the stock on my watch list for a better buy-in price. ---------------------------------- GOT. Yes, like several here, I follow GOT. GOT being a thread favorite in years past when it was a net/net or near a net/net. And recently again the stock has dropped substantially. Now again for me, it is a value stock play at current price. And as with DDS, it's traded lower and been a better value play. So I am guessing if I wait, I can get in at a lower price. ----------------------------- Fwiw, I have positions in these apparel retailers: finance.yahoo.com I've been buying AEO at a couple of dollars lower. I purchased JWN (Nordstrom) recently, not as a value stock, but rather because I believe the high-end retail business will continue to do very well, even if we (USA) go into a recession. I may add to a my few ABER (Harry Winston jewelers) if stock drops under $35 again. I have a losing position in SHOO; reevaluating it now, and not sure yet what I'll do. I like ROST here at current price (mentioned by you as well on your website, I believe); I may up my position. But wait!! There's more... (-g-) I have varying amounts of these retailers too: finance.yahoo.com With these, at current prices I'm just holding, not willing to add shares.