doublet83

The Buckle: Steady Growth Through Conservative Management

the goldman report gives most of the short thesis..

one thing you need to understand is that the company sells very fashion cycle dependent apparel. The look they are selling (overpriced jeans and hedious ed hardly graphic tees) has been pretty popular over the past few years but will eventually fade. This is almost a certainty. I can not imagine a scenario where the crap they sell will not eventually go out of fashion. The only question is when.

That is why their store productivity and operating margins are so high. You would think its a good thing but its actually not - because these levels are unsustainable.

You can't say the same for a company like AEO that sells preppy clothes or NKE that sells atheltic shoes. These things are pretty much staples.

Brink's Home Security Spinoff: Too Far, Too Fast

Its not 4x recurring cash flow. Are you looking at cash flow from existing subs? That's not the same as recurring cash flow. That wouldn't factor in the 7% churn every year.

AeroGrow International: A Lesson in Analyzing Financial Statements

so growing A/R, A/P, and inventory are all bad.

What about growing revenue? You working capital line items tend to grow with revenue?

Equinix: Global Connection Hub for the Internet

Good report. I own Q.TO which is kinda like the EQIX of Canada. I think they're a better and cheaper way to play this.

eBay Watch: True P/E Ratio, Listings Update, Business/Casual Seller Mix

There are several things wrong with your so called true p/e: 1. you are taking out the cash from the 'p' but you're not striping out the benefit of interest income from the 'e' 2. you don't take into account their low tax rate which is not sustainable over a long period of time 3. when comparing it with an S&P multiple, you don't give its ratio the benefit of the cash those companies will generate, not do you strip out the impact of cash.