Discussion in 'Stocks' started by probe1957, Sep 26, 2012.

  1. I wonder what you kids think of establishing a long stock position on BBBY. Decent enough fundamentals. Tend to gap, usually down, on earnings then cover the gap by the next earnings. Reported earnings a few days ago, gapped down and have begun to recover.

    So, whatcha think?
  2. there is a lot of resistance at 65 - 50 and 200 dma as well as price of open on earnings day. i would look to short around there and put a stop slightly above.
  3. dealmaker


  4. vanzandt


    Geez, ...I didn't know Sears had any more stores left to close.

    Ya know... this "blame it on AMZN" mantra is wearing a tad thin. At some point perhaps Wall Street needs wonder if the "average" American consumer is feeling a pinch.

    It would be interesting to compare AMZN's top line growth in various categories to the summation of lost revenue by the big box brick and mortar stores.... just to see if those numbers add up or if the pie is in fact shrinking.

    Maybe.... just maybe... the working poor are getting poorer.
    Consumer debt is at an all time high. Peek behind the paywall here.
    Almost a 1 Trillion increase since 2013.

    There's still lots of good undiscovered short plays out there. :sneaky:
  5. dealmaker


    When Edward Lampert bought SEARS he was hailed as the new Warren Buffett so far he seems like anything but...I am more surprised by the decline of BBBY. Just a few short years ago BBBY market cap was more than the entire stock market of Greece...

    Sears and Its Hedge Fund Owner, in Slow Decline Together
  6. BBBY like pretty much all the big retailers a) spent waaaaay toooo much on buybacks and not on capex and b) didn't figure out a way to AMZNproof themselves

    In the case of BBBY:


    ^ it's an old chart but relevant.
    dealmaker likes this.