9
   

***SALE*** Bargains Galore/ Get 'em While They're Hot!

 
 
Reply Thu 9 Oct, 2008 03:04 pm
Well, it looks like the rats deserted the sinking ship. The market took a dump that was much worse than anything that I have seen in my lifetime.

Then again, there are a lot of good companies around, whose stocks are priced at bargain prices. Which ones of us are tough enough to put more money in a sinking market? Who thinks that there will be a depression?

I have a theory. If there is a depression, or even a severe recession, there are some things that people will need, no matter how frugal they are. Take toilet paper. I don't think that anyone will be using Sears catalogs to wipe their butts.

I maintain that the stocks in toilet paper companies will go through the roof.
What do YOU think? Are you courageous enough to step into the market now? What stock (or sectors) do you think will raise up out of this morass? Have we hit bottom yet?
  • Topic Stats
  • Top Replies
  • Link to this Topic
Type: Discussion • Score: 9 • Views: 4,109 • Replies: 65
No top replies

 
cicerone imposter
 
  2  
Reply Thu 9 Oct, 2008 03:11 pm
@Phoenix32890,
Phoenix, You're spot on! Consumer goods producers like Johnson & Johnson, Proctor and Gamble, Costco brands of household goods, foods and staples like Campbell Soup (even McDonalds), are all good investments in good time or bad.
realjohnboy
 
  1  
Reply Thu 9 Oct, 2008 03:15 pm
@Phoenix32890,
Earlier in the day (no telling what happened at the end) beer and tobacco shares were up.
cicerone imposter
 
  1  
Reply Thu 9 Oct, 2008 03:20 pm
@realjohnboy,
I think liquor is a good investment right about now.
0 Replies
 
Merry Andrew
 
  1  
Reply Thu 9 Oct, 2008 03:28 pm
I'm with ci on all of his suggestions. That wonderful man has become my new financial advisor. (I could do a lot worse.)
kickycan
 
  1  
Reply Thu 9 Oct, 2008 03:30 pm
@Phoenix32890,
I've been trying to get CI's take on Apple for the past couple weeks now. It's at half the price it was only two months ago.

But CI keeps scaring me from making a move on it with his damned sensible advice.
Ragman
 
  1  
Reply Thu 9 Oct, 2008 03:32 pm
The last thing I will do is buy stocks. Doing that is what caused my retirement losses to my 401k in 2003-2005.

Sooooo --- in my cabin in the woods, I'm stashing the following:

water
beer
pot plants
popcorn
flour
canned goods
preserved veggies
herbs
preserved meats
dog food (for my border collie)

TV and a battery powered DVD player w/ as many 'best of' comedy series as i can find)
0 Replies
 
CalamityJane
 
  1  
Reply Thu 9 Oct, 2008 03:35 pm
@Phoenix32890,
Close to our office is a Walmart, and the amount of cars parked outside increases on a weekly basis (I drive by always at the same time). People start
saving money and they start shopping at Walmart.
cicerone imposter
 
  1  
Reply Thu 9 Oct, 2008 03:37 pm
@Merry Andrew,
My wife trusts my judgment and, for me, that's enough! LOL
cicerone imposter
 
  1  
Reply Thu 9 Oct, 2008 03:38 pm
@CalamityJane,
I recently read that even WalMart was having trouble meeting sales goals.
Their stock was down 6% today.
Phoenix32890
 
  1  
Reply Thu 9 Oct, 2008 04:15 pm
@cicerone imposter,
CI- Just about every stock was down today. I think though, that in the longer view, stocks like Wal-Mart, Costo and Sam's will do very well.

Remember, today was the end of the ban on short selling. The guys with the brass balls cleaned up!

I was in Tampa yesterday, at a mall I seldom visit. The Dillards in this mall turned the entire store into a clearance center. Everything was 50-75% off. The next step is to close the store.For those who don't know, Dillards is a middle of the road store, like Macy's.
roger
 
  1  
Reply Thu 9 Oct, 2008 04:18 pm
@kickycan,
He told you to wait, as he expected rotten holiday sales. Probably still does.
0 Replies
 
hawkeye10
 
  0  
Reply Thu 9 Oct, 2008 04:32 pm
we still have a long way down to go, now is not the time to get into the markets. Once we get below dow 7000 go in slowly. Almost nothing is worth the current price.
0 Replies
 
cicerone imposter
 
  1  
Reply Thu 9 Oct, 2008 04:40 pm
@Phoenix32890,
I agree; those discount/warehouse stores will continue to do well in most economic conditions.

Another change this holiday season will be more sales before the holidays, and deeper discounts after the holidays.
hawkeye10
 
  0  
Reply Thu 9 Oct, 2008 04:46 pm
@cicerone imposter,
the chains put in their holiday order may at the latest, well before they knew how bad this season will be. They will all need to price very low to get sales, to unload what they have. No one will make any money, not even walmart. The goal will be to lose less than the competition so that they can stay in business. Come feb/march many current chains will be gone.
cicerone imposter
 
  1  
Reply Thu 9 Oct, 2008 04:50 pm
@hawkeye10,
You're spot on! Most retail business buy for the holiday season six months or more before the holidays, because it represents up to 25% of their annual sales.
0 Replies
 
farmerman
 
  2  
Reply Thu 9 Oct, 2008 04:56 pm
bears and bulls make money, not pigs. Ive bought some bottom feeding stock.(Very high quality stocks that have been dragged down by moimentum) They may drop a bit more but Im banking on the upside. Stocks like P&G and IBM have been hurt by nothing more than panic.

I think a prudent investor can begin recognizing opportunities now. Wanna see what railroads can offer?
hawkeye10
 
  0  
Reply Thu 9 Oct, 2008 05:09 pm
@farmerman,
Quote:
bears and bulls make money, not pigs. Ive bought some bottom feeding stock.(Very high quality stocks that have been dragged down by moimentum) They may drop a bit more but Im banking on the upside. Stocks like P&G and IBM have been hurt by nothing more than panic.

I think a prudent investor can begin recognizing opportunities now. Wanna see what railroads can offer?


You are making a mistake, nothing is worth what is was a few months ago, even a business that was fairly valued then and which is doing even better now. The game has changed. This society is losing massive amounts of wealth, the system no longer has the confidence of the people, nothing that the system has to sell will find buyers at anything like the price they were at in AUG........for many many years. How much less the stock worth is the unknown, I think about 40% off the top but there is no way to know for sure. If so that means that IBM is if it is a good company worth 60% of what it was pre-crash. A turkey like GM is worth much less, maybe 10%.
cicerone imposter
 
  1  
Reply Thu 9 Oct, 2008 05:17 pm
@hawkeye10,
hawkeye, You are right; nothing today is the same as just a few months ago; even for many of us who saw some tanking of the markets. The whole enchilada has changed, because the whole economy of the world has changed. P/e ratios won't mean much, because there is no way to predict what will happen with this financial crisis; some good companies are going to go belly up, while some unexpected companies will show some muscle to survive. The managers of today are at a loss; nobody has experienced this kind of crisis, and there's nothing in the books to learn from.

Some of those companies who saved for a rainy day have always survived the ups and downs of the market, but this is totally new ground. Let's all hope we all survive this one way or another.
hawkeye10
 
  0  
Reply Thu 9 Oct, 2008 05:35 pm
@cicerone imposter,
firms that tried to save for bad times were raided, almost always successfully, and their assets were off-loaded to the stock holders in the form of dividends or stock buy backs (this was the scam of buying stock at the going rate, thus artificially inflating the price per share, and then issuing new stock, then buying more stock and inflating the price again)

Nobody who was public has the stomach for a depression, and few do for a bad recession, which is a big part of why the entire system of capitalism is now going to go on life support. You still don't understand this CI, the excesses of the last two decades not only undermined firms that will now go down, but also the entire justification for capitalism.
 

Related Topics

Where is the US economy headed? - Discussion by au1929
Debt consolidation - Question by rogers
Shopping Around For Loans - Question by Brandon9000
What is greed? - Discussion by Robert Gentel
bonds series h - Question by allen russell
Naked Short Selling - Question by optimus cubed
HOW TO GET WEALTHY - Discussion by farmerman
 
  1. Forums
  2. » ***SALE*** Bargains Galore/ Get 'em While They're Hot!
Copyright © 2019 MadLab, LLC :: Terms of Service :: Privacy Policy :: Page generated in 0.03 seconds on 12/06/2019 at 09:41:00