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Non-Tech : Eagle Hardware (EAGL) The Next Home Depo -- Ignore unavailable to you. Want to Upgrade?

To: GCRym who wrote (245)	12/10/1997 11:55:00 AM
From: Scott Mc	Respond to of 389

GCR..I know its disappointing to have a gain and then it turn into a loss, this is certainly not one for trading... The only thing I could suggest is that everything looks good it will come around...This is a much stronger company than a year ago yet trading at the same price it just needs some visibility, with store openings in Calf maybe some budding Peter Lynchs will start buying after visiting the stores? Scott The only other suggestion would be to buy the convertible, at least you get some income while you are waiting..I have a conv position which I was shorting and writing calls against. Right now I am 100% long since I believe the stock is a steal..

To: GCRym who wrote (245)	12/10/1997 12:00:00 PM
From: mozek	Read Replies (1) \| Respond to of 389

It looks like EAGL stock has been in a downtrend for about 6 months. During this time, the company has continued to beat analysts estimates. When you purchased the stock, the PE was much higher than today, but sentiment was more positive. I actually believe that we've put in a nice bottom over the past few weeks, and that we're headed up again. Recently, I've purchased lots of stock in the 17 range and calls when we dipped below 17. With today's market action, EAGL's current strength will be tested. As I write this, the Dow is down 78, the Nasdaq comp is down 27, and EAGL is unchanged. Of course, part if this is due to the fact that EAGL shouldn't be adversely affected by the turmoil in Asia. On of the reasons I decided to get back into EAGL after getting out over 6 months ago was that I believe the Asian situation will actually help EAGL by raising their margins on imported products. As you can tell, I'm quite bullish on EAGL at these levels, and my account reflects that fact. I'm not one to try and convince people to make investment decisions, but I'd hate to see you sell near the bottom. Good luck, Mike

To: GCRym who wrote (245)	12/10/1997 10:28:00 PM
From: Terry T.	Respond to of 389

Well, I bought in at 18 in October of this year, so I guess I feel a little better (!?), since misery loves company. I keep thinking that sooner or later this stock will pass the $20 barrier, but it sure has been tough. Wth hindsight, we could have made a lot of money trading the stock within the range it has been moving - even in the last 6 weeks. But, with my luck I would sell at $19.50 or so, and it would keep moving right on up to $25 or higher. On AOL thread, very interesting discussion a month or so ago by MBA student (I believe) who did analysis of Eagle stock versus Home Depot. I believe he found all of the fundamentals good for Eagle, but one - the amount of inventory held by Eagle. It carries much more inventory than Home Depot does per store, and the question is whether the inventory reflects a broader array of inventory (or more expensive inventory), or weaker/dead inventory. Of cousre, even the less desirable inventory may still be a cost of providing the broad invetory selection it does for each store, and need not be adjusted downward in value. Another question is insider trading, for which there was quite a bit in August or September. I would appreciate any one's thoughts on the inventory and insider trading angles, and whether they are reasonable concerns or not. Other than that, if Eagle continues to expand, with more stores, revenue and profits, the concerns about Home Depot will eventually dissipate and a substantial increase in price should follow. If it does not expand, one would think it would be a great take over candidate, and we should do okay there as well. This is my non-expert assessment.