Target (TGT) is at a 52 week low! Is it a good time to buy? Are they going to sell off their 7 billion credit

are there any buyers yet? Why is it at a 52 week low? Even Cramer said he loved it on Halloween? Any advice?

Interesting question. There is a very strong possibility that the U S is headed into a recession. If so you can expect TGT to continue dropping to new 52 week lows. Consider for example LOW which has suffered from the housing collapse and is also very near a 52 week low. It has dropping to new lows for quite some time.

Now TGT has an excellent track record. The time to buy certainly is when others are selling, but if you do buy you should be prepared for the strong possibility that you may wish you had not.

sure is better than buying at their 52 week high

Buy out & buy Wal Mart

I would stay away from the Retail Sector, we are heading for recession and those consumer good sectors are very sensitive to recession. Focus on Recession proof companies and industries. Wait for this bearish cycle to turn, it may be a while before these stocks recover. Certainly into 2008, this is the worst housing market since the Great Depression.

so far cramer has be right to me the person bashing cramer just had bad luck that's all

COME ON!!! Don't go by what Cramer says!!! I disagree with the post above me! Read this http://www.cramerproject.com/stocks.php
He is 58% correct with his picks and his choices are DOWN 1.26%.

1) Buying near the 52 week low is riskier? How? Isn't the idea to buy low and sell high? Was it safer or a better buy when TGT was in the middle of its 52 week range at $62? NO!!!! I feel it is better to buy at a 52 week low because you have a better idea of where the bottom is rather than buying in the middle!

2) Think about this in the real world. Everyone loves Target. If the country goes into a recession, are people going to stop going to Target to buy some cheap razors, some soda, and a videogame? NO!! Where I live, Targets are still popping whether or not the scary recession is coming or not.

3) Look at the free cash flow, aka cash coming in, left over after capital expenditures to pay for everything else. Bad description but look at this
http://quicktake.morningstar.com/StockNet/cashflow10.aspx?Country=USA&Symbol=TGT
Cash flow looks decent. Not stellar but I am sure they are fine.

My Pick!!! I would rather buy WMT. Excellent track record, better dividend, and it is near the price that Warren Buffett bought the stock for. If not, since the market is irrational, the stock can fall more. So it could fall more. Who knows.

Don't listen toslavaret2. You should buy when people are selling because there will be bargains everywhere, and this is how the rich get richer. They buy while everyone freaks out. I am putting in all my money into bargains that I am finding. I am down 12% in the last month but I am standing by my picks. I did my research, believe in the companies I picked, and will reap the benefits when everything recovers.
If you are an investor, then you will research this more. If you are a gambler likeslavaret2 above and look at funny charts, trends that don't work, and super complicated future fortune telling equations, the go for it!

1) Buying at a 52 week low is much riskier than bying at a 52 week high. The current trend is down and there is nothing to indicate it's about to reverse.

2) The entire retail sector is down, and 40% of a stock's return comes form the sector's move.

3) The surest way to lose money is to get your investment advice from Cramer.

Enter Your Message or Comment

User Name:
User Email:
Post a comment:

Archive: Forum -Forum -Finance - Links - 1 - 2 - RSS - All RSS Feeds
The Causes and the Results. 0.054
Copyright (c) 2011 Financial Crisis Monday, May 28, 2012 - Terms of use - Privacy Policy