Message Font: Serif | Sans-Serif
 
UnThreaded | Threaded | Whole Thread (3) | Ignore Thread Prev | Next
Author: mdrejhon Three stars, 500 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 14  
Subject: Genesco used to be only 2 just a few years ago. Date: 4/15/1998 1:19 PM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
Hi,

It's a shame nobody posts in this particular forum. Genesco has been one of my best performers. Upon a conversation with someone who purchased some Genesco at a price of only 2 during the year 1994 (I believe), and I bought some at 5 1/4. He provided some net profit comparisions between this Genesco and Nike, and showed me that Genesco had more healthy margins with the potential to have a wonderful comeback (which happened)

This has been an excellent turnaround opportunity back then, and now it's approaching 20, with a price-sales ratio that's still less than 1.0, and a forwad PE ratio of less than 15. Compare that to a company like Nike.

While this is a fairly cyclical sector, Genesco has done an excellent job of more consistent average revenue growth since then, and I expect them to beat the $0.09 estimates handidly this month (even though this quarter is generally weak for them) due to the excellent North American economy and people buying for the spring. In comparision, they earn over a dollar per share profit per year.

It's one of those gems that gets ignored, in favour of big name high-tech stocks and brands like Nike. This stock earned much more for some people than IOM and AOL ever did, and this is a relatively quiet stock in comparision.

Does Genesco sound familiar? No? Well, you're about to find out if you research on this stock. If you've ever been to one of those Journey's store or one of their other names, then you've already visited Genesco without knowing it, though! If they're not in your city, you'll be pleased to hear that they have plenty of room to keep expanding their footwear business and place one of these stores in your new neighbourhood mega-mall.

This could be the next Nike. Maybe. Maybe not. Opinions?

If anybody ever reads this board, please send a copy by email (marky@ottawa.com) when replying to this message.

Thanks,
Mark Rejhon
http://www.marky.com
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (3) | Ignore Thread Prev | Next

Announcements

Pencils of Promise - Back to School Drive
"Pencils of Promise works with communities across the globe to build schools and create programs that provide education opportunities for children."
Post of the Day:
Berkshire Hathaway

IBM: Is Buffett Wrong, or Brilliant?
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement