I really don't understand why nobody ever blames the respective governments and piles on Wal-Mart. At least they're honest of their intentions. Making money.
Wallmart
- Thread starter peapod
- Start date
Hey i just blamed the goverment for its over taxing of us .Thats my therory why Chinamart does so well 
Wal Mart's fabulous. Everyone should shop there.
Well, not me. You can't buy Canalli suits at Wal Mart.
Well, not me. You can't buy Canalli suits at Wal Mart.
I say everyone should stop complaining about Wal Mart and buy the stock, especially when it gets into the low-40s.
:lol: :lol: :lol: :lol: that's to funny :lol: I seen kids in the playground that can start a fight better than you toro, your just trying to bait us :lol: :lol: :lol:
No, no, I'm serious. The company is going to grow its top line 10-12% over the next several years as it keeps opening Super WalMarts and pushing the grocery businesses out. Because food is a low margin business its gross margin is going to shrink but they can wring more costs out by squeezing their suppliers so earnings should grow at about the same pace. Plus, they're growing 40% per year in China and will have 400 stores there. The stock has been weighed down by some negative publicity. I was hoping it would fall lower but it appears to be basing and heading up. Its going to earn about $2.75 next year. It got down to 12.5x earnings in the mid-90s. I'd pay 15x for it, which puts it at around $42. And that's for the best retailer on the planet! Its at $49 today. Its also been trading up to $60, so if it gets there in the next few months, you should buy some at-the-money or slight out-of-the money puts and cover them when it falls back below $50.
So tomorrow peapod, call up your broker, and say "I want an open order for 60 days. Buy 1,000 shares of WMT, traded on the NYSE, with a $42 top. Keep hitting the offer on round lots every point below that."
There. Do you know how much that advice is worth? Now don't say I don't ever do anything for you.
So tomorrow peapod, call up your broker, and say "I want an open order for 60 days. Buy 1,000 shares of WMT, traded on the NYSE, with a $42 top. Keep hitting the offer on round lots every point below that."
There. Do you know how much that advice is worth? Now don't say I don't ever do anything for you.
I've got some, thanks.
I guess that's were the divide is. Mick Jagger said, "Too much is never enough." David Suzuki said, "How much is enough?" Ray Davies said, "Fer Chrissakes have a cuppa tea."
I don't give a flying f*ck about money. My aspirations for wealth are pretty much restricted to forgetting to buy lottery tickets. Apparently you can't win without a ticket. Things are tough all over.
You'll never understand, Toro. your loss.
There were some interesting things brought up in that show that seem to have been largely overlooked.
Walmart is a retailer and doesn't produce any product, they sell what other companies produce. The fact that Walmart has become the largest company in the United States is an example of the main problem with the US economy. If you paid attention to the Manager of the Port of Long Beach, you will notice that she tells you that most of the imports are consumer items and most of the exports are raw materials. You should have also noticed that although China was originally intended to become a market for American goods the opposite has occurred. The United States economy has become a consumer economy. This problem is not unique to the United States, but is also seen in other countries with a large manufacturing industry which have a high wage base.
Many people decry the fact that Chinese wages are too low. Well, from our perspective they are, but for the Chinese workers these wages represent an increase in their standard of living far above what they earn now. The same would be true if you examined India, but people seem to ignore the problem that India represents because they have a prejudice that China is Communist and India is a Democracy. The reality is that the standard of living in these two countries is so low that anyone starting a company in those countries could offer a starting wage that is 10 times the average, along with health benefits and pensions, and still undercut the wages in North America and Europe.
Indians who have studied in Canada and the United States are presently returning to India in large numbers and taking pay cuts when they do so. Why? Because they can obtain high level positions in Indian companies based on their North American education and training, they are returning home, and the wages they receive in India can allow them to raise their standard of living compared to what they would be in a similar job in North America.
When examining Walmart's role in this you have to maintain the perspective that Walmart is a company and companies have one thing in mind - to make money and satisfy their investors. Walmart is one of the most efficient companies at achieving this main goal. The problem with that is that they don't really care what the consequences are and who suffers as a result - they have no loyalty to either their workers or their customers or (to a certain extent) their country. Toro is right, they will continue to make more money and satisfy their investors , and as a result their stock will rise. Unfortunately American consumers will lose their jobs to foreign manufacturers and go broke buying these cheap foreign goods. When this happens and Americans can no longer afford Walmart's low prices, Walmart will find a new market to exploit or they will disappear. How did the one guy put it? - Creative Destruction
Walmart is a retailer and doesn't produce any product, they sell what other companies produce. The fact that Walmart has become the largest company in the United States is an example of the main problem with the US economy. If you paid attention to the Manager of the Port of Long Beach, you will notice that she tells you that most of the imports are consumer items and most of the exports are raw materials. You should have also noticed that although China was originally intended to become a market for American goods the opposite has occurred. The United States economy has become a consumer economy. This problem is not unique to the United States, but is also seen in other countries with a large manufacturing industry which have a high wage base.
Many people decry the fact that Chinese wages are too low. Well, from our perspective they are, but for the Chinese workers these wages represent an increase in their standard of living far above what they earn now. The same would be true if you examined India, but people seem to ignore the problem that India represents because they have a prejudice that China is Communist and India is a Democracy. The reality is that the standard of living in these two countries is so low that anyone starting a company in those countries could offer a starting wage that is 10 times the average, along with health benefits and pensions, and still undercut the wages in North America and Europe.
Indians who have studied in Canada and the United States are presently returning to India in large numbers and taking pay cuts when they do so. Why? Because they can obtain high level positions in Indian companies based on their North American education and training, they are returning home, and the wages they receive in India can allow them to raise their standard of living compared to what they would be in a similar job in North America.
When examining Walmart's role in this you have to maintain the perspective that Walmart is a company and companies have one thing in mind - to make money and satisfy their investors. Walmart is one of the most efficient companies at achieving this main goal. The problem with that is that they don't really care what the consequences are and who suffers as a result - they have no loyalty to either their workers or their customers or (to a certain extent) their country. Toro is right, they will continue to make more money and satisfy their investors , and as a result their stock will rise. Unfortunately American consumers will lose their jobs to foreign manufacturers and go broke buying these cheap foreign goods. When this happens and Americans can no longer afford Walmart's low prices, Walmart will find a new market to exploit or they will disappear. How did the one guy put it? - Creative Destruction
Thank you Walrus, that was an excellent post.
Toro, you are a silly man, you could not even give me walmart stock. Honestly, your right out of a dickens novel.
Toro, you are a silly man, you could not even give me walmart stock. Honestly, your right out of a dickens novel.
AirIntake said:
Winn Dixie I can't really comment on....However Costco, is a far better company to work for. Their employees get benefits. I'll see if I can find a link for you . As for Kmart...this is a company that filed for bankruptcy then two years later turned around and bought Sears. Kmarts bankruptcy was a sham. It was merely used to get rid of the debt it was in. This is equally an abhorent business practise. At least one of these questions the answer is yes. One is really a red herring . Small town grocery stores may not be thriving, but that is not the small business that Walmart hurts. Its the local drugstores and mom & pop shops that cater to specialized goods.
As for other companies ( given the opportunity) doing the same originally ...it is really hard to say. It would all depend on the moral fiber of the boardrooms.
Take the money you make in the stock peapod and use it to fund anti-Wal Mart activities. That way you can do good and be ironic at the same time.
WalMart primarily caters to the lower socio-economic people. WalMart's daily sales usually slow around the 13th and 29th of every month. The reason why Wal Mart is so successful is because they can offer poorer people more things for the same paycheque than any other mass retailer. Poorer people can buy more stuff with the same amount of money.
I'm not sure why you say KMart bankruptcy was a sham. They couldn't meet their debt obligations so they filed. It wasn't hard to see it was going to happen well before they filed if you looked at the financial statements. They wound up closing many stores. Winn-Dixie just filed for bankruptcy. They're a Florida firm but there's no one in the stores where I live.
WalMart primarily caters to the lower socio-economic people. WalMart's daily sales usually slow around the 13th and 29th of every month. The reason why Wal Mart is so successful is because they can offer poorer people more things for the same paycheque than any other mass retailer. Poorer people can buy more stuff with the same amount of money.
I'm not sure why you say KMart bankruptcy was a sham. They couldn't meet their debt obligations so they filed. It wasn't hard to see it was going to happen well before they filed if you looked at the financial statements. They wound up closing many stores. Winn-Dixie just filed for bankruptcy. They're a Florida firm but there's no one in the stores where I live.
The K-Mart bankruptcy seems fishy to me as well. They have no money for creditors yet once they are free from them then they buy Sears. wtf is that? There should be some sort of investigation into that, very very suspicious if you ask me. Bankruptcy fraud even.
That's it exactly no 1. They sold off real estate to Sears and Home Depot...then 4 months later turned around and bought Sears.This was real estate they held all along. That money should have gone directly to the companies Kmart owed.In any other bankruptcy the company/individual would be required to. It didn't,the corporations Kmart owed were out of luck. That is of course...the ones that weren't privy to the information abourt what was about to happen.
As for looking at the Sears financial statements I receive one quarterly.
As for looking at the Sears financial statements I receive one quarterly.
KMart did not buy Sears. The two merged though the ownership of KMart initiated the talks. I believe it was a stock swap. I don't think cash changed hands but I could be wrong on that. The shareholder is Eddie Lampart. He had purchased a whole slew of bonds before and in bankruptcy. When KMart emerged from bankruptcy, he owned something like 15% of the stock after he'd swapped his debt for equity. The merger with Sears took place well after the company emerged from bankruptcy.
Bankruptcy is a process to restructure debt. It is the debtholders who initiate the bankruptcy process, and it is through negotiations and the courts that assets are divied up to satisfy creditors. Usually debt is exchanged for equity and the company comes out of bankruptcy either debt free or with relatively little debt. When KMart was in bankruptcy, they closed down a bunch of stores and sold others, and debt was exchanged for equity. This is normal.
KMart has been a terrific story. Companies don't usually do this well when they come out. But their long-term position may not be that good because they will continue to be squeezed by WalMart.
Bankruptcy is a process to restructure debt. It is the debtholders who initiate the bankruptcy process, and it is through negotiations and the courts that assets are divied up to satisfy creditors. Usually debt is exchanged for equity and the company comes out of bankruptcy either debt free or with relatively little debt. When KMart was in bankruptcy, they closed down a bunch of stores and sold others, and debt was exchanged for equity. This is normal.
KMart has been a terrific story. Companies don't usually do this well when they come out. But their long-term position may not be that good because they will continue to be squeezed by WalMart.
http://www.retail-worker.com
Stock swap...buy out...Believe me Kmart owns Sears. They changed the name to Sears Holding Company because the Sears brandnames have a better reputation. It took two years for Kamrt to emerge from bankruptcy. Believe me Eddie was playing fast and loose with the creditors. It was a con. The bankruptcy relieved the debt burden and the creditors had to take less than what they were owed.
Do you think it was a coincidence that sears sold off its Credit operations shortly before ( about a year) the merger? Their Credit operations were the only part of Sears showing any profit prior to this. This has been one giant con.
You don't find it even slightly suspiscious that Sears would buy rea lestate from Kmart just four months before the "merger". Why do you think The Chicago Press is watching this so closely. Why do you think The Security & Exchange Commission is looking into this.
Terrific story...pffft ...only for Lampert and his buddies...of which Alan Lacy former CEO which allowed the Buyout. This isn't about competing with Walmart. Lampert cold care less. This is about Real Estate pure and simple.
Stock swap...buy out...Believe me Kmart owns Sears. They changed the name to Sears Holding Company because the Sears brandnames have a better reputation. It took two years for Kamrt to emerge from bankruptcy. Believe me Eddie was playing fast and loose with the creditors. It was a con. The bankruptcy relieved the debt burden and the creditors had to take less than what they were owed.
Do you think it was a coincidence that sears sold off its Credit operations shortly before ( about a year) the merger? Their Credit operations were the only part of Sears showing any profit prior to this. This has been one giant con.
You don't find it even slightly suspiscious that Sears would buy rea lestate from Kmart just four months before the "merger". Why do you think The Chicago Press is watching this so closely. Why do you think The Security & Exchange Commission is looking into this.
Terrific story...pffft ...only for Lampert and his buddies...of which Alan Lacy former CEO which allowed the Buyout. This isn't about competing with Walmart. Lampert cold care less. This is about Real Estate pure and simple.
"Take the money you make in the stock peapod and use it to fund anti-Wal Mart activities. That way you can do good and be ironic at the same time."
Toro why don't you become a lefty, that way you can be good and ironic also. :lol:
Toro why don't you become a lefty, that way you can be good and ironic also. :lol: