Kelley

Hoping Shorts Will Drive Sears Down for Me

I am glad you found the original! Thanks for keeping us up to date on the changes. Nice!

Hoping Shorts Will Drive Sears Down for Me

That Macke piece was a regurgitation of every other negative commentary about SHLD out there. Talk about not doing one's homework.

Sears has done a lot to improve its on-line presence. This is where big changes can be made for a smaller amount of dollars. No one seems to give that any attention. Moreover, SHLD recently beat estimates, and all people can talk about is Eddie's rant in the shareholder letter. I read the letter, and it didn't seem like a rant to me.

Ah, perception. I forgot. Same thing happened when Ackman showed up at the shareholders meeting last May. Journalists wrote how Ackman "pressured" and "grilled" Lampert to answer questions relating to SHLD. Haha. I was there. Ackman stood up, asked his questions and sat down. It was a non-event. He even stood up a second time and told Lampert he appreciated the job he was doing.

My other favorite Eddie bashing? I hear often that he doesn't know retail. Really, folks? Check out AZO. They just made an historic high today.

I cannot guarantee that I won't lose money on my investment in SHLD. However, I feel confident in the upside. I feel even more confident when I read recycled and incomplete "analysis."

Jeffrey, fcharlie and sclarksons - thanks for calling out the Macke spin!

Eddie Lampert Has a Conflict of Fiduciary Interest

Ackman may have sold out of most of his shares (he still holds 500k shares), but Bruce Berkowitz steadily increased his position - and his Fairholme fund is known for its smart, concentrated investments. The Fairholme fund is very highly rated as well. Oftentimes, I read a negative article about SHLD, and the writer tends to include that Lampert's "buddies" are selling out (who thinks Lampert and Ackman are buddies?). Conveniently, I don't see any mention of other "buddies" like Berkowitz buying more.
The real estate play has most certainly been affected by the current environment. However, this play is not entirely done. The real estate, in my opinion, is not "the only element of intrigue in this stock." Plus, SHLD is producing free cash flow, and their brands are worth something - regardless of what others may think. SHLD also has a 72% stake in Sears Canada. There are a few intriguing things here. Time will tell who is right.