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| Benjamin |
 Posted: Thu Jan 05, 2006 7:45 am Post subject: Walmart stock |
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Administrator
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People are always looking for new information on Walmart Stock.
Best advice I can say if your unsure is to play it in our Stock Market Simulator and see how it goes.
What are your thoughts on this one?
Last edited by Benjamin on Tue Feb 14, 2006 7:17 am; edited 1 time in total |
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| cwing |
| Posted: Thu Jan 05, 2006 7:53 am Post subject: |
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Associate
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I don't believe in unions but I don't want to start a flame war.. I shouldn't of stated that..  |
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| seraphim101 |
| Posted: Thu Jan 05, 2006 8:01 am Post subject: |
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Investing Sr. Associate
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| If I was to go with walmart, it'd be later on in the year when they stabelize. But that's just me |
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| frusnak |
| Posted: Thu Jan 05, 2006 11:23 am Post subject: |
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CFO
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Did anyone catch the special on walmart during the holidays on cnbc? I think walmart is on the downward spiral in the States but why worry about it when they have china to grow in  If you work for a company whether it is a union or not and you have any benifits where do you think they can from??...the goodness of the management or owners?  |
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| melansion |
| Posted: Thu Jan 05, 2006 12:16 pm Post subject: |
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Investing Associate
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Like some of the other posters said, it's best to wait until they stabilize. Otherwise keep up to date on the most current news regarding your prospective picks and by when the price is right.
Unions are somewhat irrelevant in this scenario, I wouldn't reject a worthy stock just because the company is unionized. If it's going up, it's going up, and if it's going up, it may be worth investing in. |
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| frusnak |
| Posted: Thu Jan 05, 2006 12:29 pm Post subject: |
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CFO
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| melansion wrote: | Like some of the other posters said, it's best to wait until they stabilize. Otherwise keep up to date on the most current news regarding your prospective picks and by when the price is right.
Unions are somewhat irrelevant in this scenario, I wouldn't reject a worthy stock just because the company is unionized. If it's going up, it's going up, and if it's going up, it may be worth investing in. |
Hey, welcome to the forum, the more opinions the better |
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| melansion |
| Posted: Thu Jan 05, 2006 12:41 pm Post subject: |
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Investing Associate
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Thanks  |
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| geb9696 |
| Posted: Thu Jan 05, 2006 1:39 pm Post subject: |
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Investing VP
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| I did watch the special on cnbc about Walmart. China seems like it will be very profitable. I thought the story about the couple trying to get their product into Walmart stores was moving. |
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| frusnak |
| Posted: Thu Jan 05, 2006 3:14 pm Post subject: |
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CFO
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| geb9696 wrote: | | I did watch the special on cnbc about Walmart. China seems like it will be very profitable. I thought the story about the couple trying to get their product into Walmart stores was moving. |
Yeah, kind of scary, at how much they had to adjust their business plans to get on board with walmart. How about the stuff that sells over there compared to the States? |
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| Im Not Warren Buffett |
| Posted: Thu Jan 05, 2006 4:57 pm Post subject: Wal-Mart Stock (WMT) |
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CFO
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I am not a real fan of Wal-Mart (WMT), but not because of any social/political positions. I simply feel that targeting the lowest income demographic with cut-rate pricing is a risky business model. While I know that Wal-Mart is an enormously profitable company, a consistently increasing stock price relies upon further growing profits. I see Wal-Mart simply leveling off sometime in the next decade, barring some new business plan.
Wal-Mart has margins under 6%, and they already leverage their economies of scale for everything they are worth (in fact, doing so is their signature advantage). This means they can't expand the bottom line by operating more efficiently. Being the principle low-price purveyor, they also can't go looking to sell their goods for much less (see above, they don't have the room to do so). Their clientele is the first to be squeezed by rising prices and also hit by stagnant wages, a tough combination that makes for a hard sell. Wal-Mart also has the "image problem", with people seeing their stores as low class compared to Target. This may be exaggerated, or it may not. I for one think Target sells better merchandise than Wal-Mart, and you tend to see Target being in higher-income areas.
Although Wal-Mart is a well-entrenched company, retail giants have a history of turnover at the top when management isn't quick enough to adapt to changing trends... look at the companies Wal-Mart displaced to get to the top (J.C. Penney, Sears)... if you read up on the history of those companies you see they have interestingly close ties, with founders and top management moving around and trying to mold their new company to make it better than the old one.
Final recommendation (because I'm the new analyst and all): I am less optimistic for 2006 and beyond as of now, I see signs of a struggling company facing slow-to-no growth. The stock will follow and lag the market.
A 5 year graph of Wal-Mart (WMT) vs. Target's (TGT) stock price.
http://finance.yahoo.com/q/bc?s=TGT&t=5y&l=on&z=m&q=l&c=wmt |
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| geb9696 |
| Posted: Thu Jan 05, 2006 5:12 pm Post subject: |
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Investing VP
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| In China it seemed that Walmart was more like a food store plus a retail store when in the United States. Granted I have not been in a Walmart in probally over 2 years so this may have changed. Globally is where Walmart is looking in terms of most of their growth in the future. |
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| frusnak |
| Posted: Thu Jan 05, 2006 5:16 pm Post subject: |
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CFO
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It's hard to argue the facts that you put forth but walmart is a force to be reconded with and according to the cnbc special they are targeting targets game plan. In other words they are going to assimilate targets style into their corp. being which they are very good at. ie Star trek "borgs"  Resistance is futile.... |
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| Iceemaan |
| Posted: Fri Jan 06, 2006 7:49 am Post subject: |
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Investing Manager
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| If you notice the picture in all my posts below from "South Park" it is an intentional photo.....It is from the episode entitled "Kill Walmart" |
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| Im Not Warren Buffett |
| Posted: Fri Jan 20, 2006 12:28 pm Post subject: |
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CFO
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| Iceemaan wrote: | | If you notice the picture in all my posts below from "South Park" it is an intentional photo.....It is from the episode entitled "Kill Walmart" |
I never knew that was the intention there, and I'm stunned how quickly these threads are getting bumped off the front page. Lots of new posting. |
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| Iceemaan |
| Posted: Fri Jan 20, 2006 2:49 pm Post subject: |
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Investing Manager
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| New posts are good. But back to the Walmart thing traditionally Walmart has done well with down economy. More people staying closer to home trying to save money. |
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