jerico

Time for Rethink on Discount Retail?

Wal-Mart was being cautious and conservative in its outlook for the 2nd quarter. The market reaction was a classic "sell on the news" move, nothing more. Smart money has made 20% profit on this stock in the last few months. Smart money should buy on the dips, because a disproportionate share of those rebate checks are going to be spent for food and other such staples. Wal-Mart and Sam's clubs are the place to stretch those dollars. If we take a look at 22% growth in the international business, we have a pretty positive kicker. This is another easy 20% upside to this stock by September 08.