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

To: Spekulatius who wrote (29254)	12/14/2007 1:10:10 AM
From: Jurgis Bekepuris	Respond to of 78826

WOW, can I say WOW. I guess PLA is the best example of how to screw up a great brand. No earnings, no growth, nothing to show to shareholders for ages. You are right that it would be tremendous takeover value. The question is then what is the time value - how long do we wait? I think that your recommendation could have been written in any of last 5 years, no, make it any last 10 years and the shareholders would have nothing to show for their investment (not counting couple of spikes for possible trading...). What's different now? I guess one thing is different that Hugh is older and may keel over soon. On the other hand, the brand is not getting fresher with overall decline of print pubs. If nothing is done for another 5 years, a lot of people may not know the brand any longer... I do read Playboy - just for articles you know ;) ;) - and it is already not really geared at teens and twenty somethings. Soon the people who know the brand will start dying like Hugh... Interesting, but I am not sure... history on this one looks depressing. :(

To: Spekulatius who wrote (29254)	12/14/2007 10:10:39 AM
From: gcrispin	Read Replies (1) \| Respond to of 78826

I'm not sure about your idea that HH lets go. The company is his legacy and his daughter will be wondering where here next paycheck will be coming from. Looking in this space, PTT seems like a better bet. Mentioned in a Barron's interview about six months ago, the company has better ROA and ROE numbers and the PGE is very low. They recently raised estimates and the company doesn't look expensive at 15 times earnings. Free cash flow is significant, as described by the article. online.barrons.com