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

To: Spekulatius who wrote (30912)	5/10/2008 11:36:04 AM
From: Jurgis Bekepuris	Respond to of 78666

BID - I agree with you Spekulatius. Even worse, BID claimed last year that they deliberately moved towards high value items, since the low value items had high overhead and presumably lower margins. Now they contradict themselves and say that higher priced items have lower margins... so why would they move from low value items then? and why the costs would be going through the roof if they actually moved towards high value items that have less overhead? Your explanation that market may be weakening and they are just trying to give lame half-true explanations is possibly correct. As I said in my previous post, I would not buy BID here, but may hold it and see how Q2 plays out. IMHO, there is still a lot of petro-millions sloshing around and BID may do fine. But I will be extra careful and may sell the whole position if I really think the management has lost it (again).