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

To: Spekulatius who wrote (33364)	1/28/2009 9:31:34 AM
From: Jurgis Bekepuris	Read Replies (1) \| Respond to of 78644

COH - so far it's not in my 10 largest positions, but it is getting there. I cannot make a macro call and perhaps you are right to avoid luxury stocks. I got out of BID at a loss, but their balance sheet is a bit ugly due to financing operations. HOG is another one of close-to-luxury stocks that also has an issue with financing arm. Compared to this COH has a pristine balance sheet and that's a plus. On the other hand, they are still valued at 3xbook, which is a risk in this environment. Whether they can maintain earnings and keep their brand cachet during these times, remains to be seen. Macro wise, my only very big play remains oil. And second somewhat bet is China. I don't have any other macro bets at this time. :)