RMM – For KSS, we haven’t seen a ton of retail data coming out, but I like Kohl’s for this quarter. We still have a lot of unemploment and safe buying. Kohls compared to other department stores is cheaper and more affordable. I think that is good for KSS. Their earnings estimates, however, have been adjusted as such. The estimates are above one year ago, and we are in a tough economy. Questionable… KSS, however, is known for beating expectations time and time again, and I like that track record. KSS, however, is overvalued. Question how much higher it can go without smashing results.
WMT you can’t bet against, but I look at that chart and it is very toppy. Unless it smashes results it won’t move a ton, and analysts are usually pretty close on the estimates. Obviously a beat is good, and they continue to beat expectations.
I think, though, you have found two stocks that have a lot of earnings already priced in, and I am not sure they are the most profitable options.
August 12th, 2009 at 10:56 am
RMM – For KSS, we haven’t seen a ton of retail data coming out, but I like Kohl’s for this quarter. We still have a lot of unemploment and safe buying. Kohls compared to other department stores is cheaper and more affordable. I think that is good for KSS. Their earnings estimates, however, have been adjusted as such. The estimates are above one year ago, and we are in a tough economy. Questionable… KSS, however, is known for beating expectations time and time again, and I like that track record. KSS, however, is overvalued. Question how much higher it can go without smashing results.
WMT you can’t bet against, but I look at that chart and it is very toppy. Unless it smashes results it won’t move a ton, and analysts are usually pretty close on the estimates. Obviously a beat is good, and they continue to beat expectations.
I think, though, you have found two stocks that have a lot of earnings already priced in, and I am not sure they are the most profitable options.
David