WOW - Woolworths Group
- Thread starter Ko Ko
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I would think WOW is getting near some sort of entry level for those on the sideline. Heading into a Global slowdown should suit this staple.
Excellent support @ $26 and probably worth a nibble around the $28 mark.
Even in the down times, people gotta eat, and generally hit the bottle for some relief. WOW has both angles covered.
Excellent support @ $26 and probably worth a nibble around the $28 mark.
Even in the down times, people gotta eat, and generally hit the bottle for some relief. WOW has both angles covered.
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You really think they're a great buy with a whopping PE STILL of around 24 or so?
I mean for a diversified retailer thats just way too high still - compare them to Walmart and Tesco - way too high IMO.
I mean for a diversified retailer thats just way too high still - compare them to Walmart and Tesco - way too high IMO.
Sean K
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If there is a stock to consider in this period it would be WOW, IMO.
pe is there for a reason, and that is because of all the business they're destined to get off the other staples, that fail to staple....
Long term holders/buying of this stock may be rewarded.
Having said that, gutsy to buy today.
(not holding)
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Correct me if I'm wrong, but isn't the basic way to justify a stocks price, multiple the current earnings per share, by the PE/100
On current earnings, this method values WOW at $27.75
On future earning, 2008, the value for WOW is $33.56
On future earning, 2009, the value for WOW is $38.17
Add in a general slowdown, the fact it is heavily discounted, and it's double digit growth over a 10 year period, whilst approaching key support areas,
represent an excellent opportunity to pick up a quality stock at fair to discounted prices.
That's how I see it anyway.
Correct me if I'm wrong, but isn't the basic way to justify a stocks price, multiple the current earnings per share, by the PE/100
On current earnings, this method values WOW at $27.75
On future earning, 2008, the value for WOW is $33.56
On future earning, 2009, the value for WOW is $38.17
Add in a general slowdown, the fact it is heavily discounted, and it's double digit growth over a 10 year period, whilst approaching key support areas,
represent an excellent opportunity to pick up a quality stock at fair to discounted prices.
That's how I see it anyway.
you are assuming everything goes according to plan and execute to perfection and no discount has been factor in the price.
I don't like anything that price to perfection
.... WOW is a great company no doubt and I'm great fan of wonderful company but not at any price at this current price no thanks .. maybe at low 20's
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Has anyone got any idea and/ or opinion why Woolworths has dropped below $27 today? I can't seem to find any news causing a drop. Maybe it's having it's own little correction?
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Has anyone got any idea and/ or opinion why Woolworths has dropped below $27 today? I can't seem to find any news causing a drop. Maybe it's having it's own little correction?
I found this article on the Sydney Morning Herald, it might explain why. It seems to suggest people avoid the stock as it is overvalued:
http://www.moneymanager.com.au/articles/2008/02/04/1202090321981.html
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Didnt read the article, but I beleive it is correct. I have no idea how it got as high as it did in the first place!
you are assuming everything goes according to plan and execute to perfection and no discount has been factor in the price.
I don't like anything that price to perfection
at this current price no thanks .. maybe at low 20's
Spot on. The first part of investment is finding the right type of stock to place in a long term portfolio. The second is to buy it at the 'right' price. The first part is pretty easy, the second dam difficult
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It's overvalued? You know Woolworths is not the only stock that the market is avoiding, there are plenty more that have fallen more so if anything Woolworths is the only stock that people AVOID SELLING TOO MUCH OF!
Outstanding company for a long-term portfolio, I'm looking to buy at $22 as well for 10+ years.
Outstanding company for a long-term portfolio, I'm looking to buy at $22 as well for 10+ years.
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I have had this on my watchlist for quite some time. It's almost at the same price it was a year ago. Ever since December, when it went up beyond AXO, it has been targeted for a fall. Better to watch this stock than anything else, IMHO. No doubt it will recover being a "staple" blue chip. Just can't smell the bargin yet.
I'm waiting on WOW.
Long term it's a good buy. Over summer, between uni, I actually had the honour of working on checkouts at woolies. People always complained about the prices but it didn't stop them coming back for more. Also, many investors are looking for new blue chip buys to replace the banking sector- companies such as TLS, WOW etc appear to be viewed in good light. Furthermore, the high $A is good for the electronics component of Woolworths Ltd - Tandy, Dick Smith Electronics etc. So, I'm waiting for this market turmoil to send the price hopefully to $23/24 then I'm in for the long haul
Long term it's a good buy. Over summer, between uni, I actually had the honour of working on checkouts at woolies. People always complained about the prices but it didn't stop them coming back for more
. Also, many investors are looking for new blue chip buys to replace the banking sector- companies such as TLS, WOW etc appear to be viewed in good light. Furthermore, the high $A is good for the electronics component of Woolworths Ltd - Tandy, Dick Smith Electronics etc. So, I'm waiting for this market turmoil to send the price hopefully to $23/24 then I'm in for the long haulThe problem I find with banks at the moment is picking fair value. It seems like the credit crunch issues are still to play out -- have a look at the "Banks-turning the corner" thread.
Is CBA cheap at $43 or $36?
Is ANZ cheap at the moment or will it fall below $20?
Any thoughts.
Is CBA cheap at $43 or $36?
Is ANZ cheap at the moment or will it fall below $20?
Any thoughts.
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Well historically at a P/E of 10 the banks are pretty cheap, but other banks around the world are at a P/E of 6.
But no-one can pick a bottom but I would much rather buy a small amount of ANZ at $22 than $31. If it falls more I'd just buy more because these will eventually recover.
But no-one can pick a bottom but I would much rather buy a small amount of ANZ at $22 than $31. If it falls more I'd just buy more because these will eventually recover.
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Havent read that thread, but I agree.
It is very hard to value the banks at the moment, because their future growth forecasts and even current status are a guessing game!
No way you can value anything in that kind of environment, unless of course you simply use long-run historical values.
For now, I will let the banks ride it out, I have learnt the hard way to use one of the very basics of T/A, never buy anything on a downtrend, even if it is fundamentally good value. Wait until it actually does turn the corner, then start wacking your money in if your sure its fundamentally sound.
On the WOW front, I wouldnt buy it for anything above $24. But thats just my opinion.
