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Interesting question of the day: Don Bilson asks on Twitter if people aren't buying beds...

Interesting question of the day: Don Bilson asks on Twitter if people aren't buying beds (Earlier: Tempur-Pedic) or furniture (Earlier: Ethan Allen) - how are we supposed to believe they are buying homes?
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Comments (10)
  • bigbenorr
    , contributor
    Comments (773) | Send Message
     
    craigslist.
    20 Apr 2012, 10:36 AM Reply Like
  • wyostocks
    , contributor
    Comments (8229) | Send Message
     
    Perhaps the scheme is starting to unravel.
    20 Apr 2012, 10:40 AM Reply Like
  • SoldHigh
    , contributor
    Comments (1013) | Send Message
     
    Duh... Renters.
    20 Apr 2012, 10:40 AM Reply Like
  • drekon
    , contributor
    Comments (182) | Send Message
     
    Maybe Mom and Dad don't want to replace their beds so they get out of the house! Anyway, Tempur Pedic & Ethan Allen are hardly starter home purchases.
    20 Apr 2012, 10:44 AM Reply Like
  • Tack
    , contributor
    Comments (13559) | Send Message
     
    I always love it when innuendo is substituted for factual data and analysis.

     

    How are people going to buy homes, if they aren't buying beds? (gasp!). Let's examine the underlying data, instead of rhetoric:

     

    "Tempur-Pedic Reports Record First Quarter Sales And Earnings"

     

    "Net sales increased 18% to $384.4 million in the first quarter of 2012 from $325.8 million in the first quarter of 2011. On a constant currency basis, net sales increased 19%. Net sales in the North American segment increased 17% and international segment net sales increased 19%. On a constant currency basis, international segment net sales increased 22%."

     

    The better question to ask is where are they going to put all those beds.
    20 Apr 2012, 10:49 AM Reply Like
  • SivBum
    , contributor
    Comments (1819) | Send Message
     
    Those brands are very high end. I own a tempu-pedic and it costed an arm and a leg about 6-7 years ago.

     

    A better measure would be those main stream brands.
    20 Apr 2012, 10:55 AM Reply Like
  • Tack
    , contributor
    Comments (13559) | Send Message
     
    Maybe, this answers the question: http://bit.ly/I5naLx
    20 Apr 2012, 10:58 AM Reply Like
  • gcrain
    , contributor
    Comments (68) | Send Message
     
    I manage a privately held bedding store ( 3rd largest chain ) in the Houston market and we are taking sales from Mattress Firm all day,
    every day. Beware buying the Firm's stock.
    20 Apr 2012, 11:14 AM Reply Like
  • montanamark
    , contributor
    Comments (1435) | Send Message
     
    "The company's sales to retailers and directly to customers picked up during the quarter, while sales to customers in the health-care industry and third parties fell."

     

    sounds like people are buying beds
    20 Apr 2012, 11:03 AM Reply Like
  • WallStreetDebunker
    , contributor
    Comments (2514) | Send Message
     
    The Twitter post seems like caffeinated bloggerrhea. A more useful post would mention the huge run-up in every business related to home-buliding, refurbishing, and furnishing. The refurbishing and furnishing companies (PIR, CPWM, SHW, TPX, etc) have all been touching valuations at the high end of their historical range. Clearly the herding behavior of fund managers is at play, with perhaps overconfidence in the longer term earnings capability.

     

    Some of the refurbishing and furnishing companies started dramatic five-year declines in late 2003 (PIR, CPWM, etc.), well in advance of the popping of the real estate bubble and subsequent recession.

     

    It will be interesting to see how much of the bull market gains these companies give up in the next recession.
    20 Apr 2012, 10:48 PM Reply Like
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