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

To: Jack O B who wrote (47602)	4/24/2012 11:53:30 PM
From: Spekulatius	4 Recommendations Read Replies (1) \| Respond to of 78470

Two posts and you start already complaining that co-tailing our picks does not work. I'll tell you one thing - co-tailing almost never works. As for NEM, I thought my post was pretty clear that I did not add yet and I explained why. If I believe that information is out there, that I am not privy to and that the market has not have digested either, I will not add unless the valuation is absolutely compelling. In NEM case, the earning estimates for NEM have gone down by almost 10% during the last 30days and I need to understand why. I think we will know on 4/27 and I will rather hold out a few days until the new information is public. I think buying right now before earnings is an absolute crapshot for me because the price may move either way.

To: Jack O B who wrote (47602)	4/25/2012 12:54:32 AM
From: Paul Senior	Read Replies (4) \| Respond to of 78470

BIG. Yes, very rough day for Big Lot shareholders. What's also troublesome (to me)is the large insider sales that preceded the company's announcement. Here's a Forbes article that discusses that: forbes.com I have held a Big Lot position of varying sizes for many years, if not decades. I added to my position today in the $36, $35 and $34 areas as stock fell. I intend to continue to hold. The stock is among the cheapest of the discount retailers, and last year BIG was willing to put itself up for sale (looking for over $40/sh). In past, the company has recovered from its troubles either by changing store mix (closing stores), changing product mix, or changing management. The company has a low d/e ratio, and that may be helpful in giving the company time and resources to improve. I'm figuring I'm going to wait at least a couple more quarters to see what progress the company is making to restore its earnings growth and investor confidence in management and the company. I'm not saying my time with the stock has given me great knowledge or insight about the company. Rather, It's just that I've been with BIG so long that I can give it a couple more quarters, and I'm willing to up my position now when the company's hit a roadblock. Perhaps for other people, maybe yourself, the stock might rightly be considered dead money at best. It may be that the fall in share price will continue tomorrow. Or in future if BIG continues to stumble, disappoint, and/or show that its management (by selling its stock recently) is not aligned with shareholders. Because of these possibilities, I'd not recommend the stock as buy for others now. And maybe for very disappointed people already in the stock, perhaps the correct or best decision is that it's time to just sell and move on.