# Staples (Nasdaq:SPLS)



## keepathomas (Jul 12, 2012)

What do you guys think of SPLS?

The stock took a hit about 3 weeks ago because of less than expected earnings report.
The valuation looked good and the stock seemed cheap so I initiated a position on SPLS at 10.65$. 

Right now the price is at 11.64. 

What do you think are the long and short term prospects for SPLS?


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## avrex (Nov 14, 2010)

I like it for a possible swing-trade (hold for 6-12 months)

It's a beaten down stock, but it looks like good value now. 

Good balance sheet, lots of cash, low payout ratio. 
Reasonable earnings. It's in better shape than Office Depot.

One of my favourite calculations is comparing a company's current Earnings Yield to it's 10 year average. 
It's currently *2.5 times higher* than it's average. It looks like a great deal.

Longer term. A question mark. Analyst future growth estimates are ok. 
However, do we trust the recovery of the North American economy, which this company is so dependent on.


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## keepathomas (Jul 12, 2012)

Today SPLS just spiked on rumor of a takeover! 

As I am typing, the after hours price is at 12.10!


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