The Gymboree Corp (GYMB)

njbrewer (75.19) Submitted: 12/02/07 5:08 PM : Start Price: $33.51 GYMB Score: 22.67

1. GREAT FINANCIALS (no debt, increasing cash hoard despite expansion, best of breed margins and ROE, consistent growth in revenue and EPS over last several years)





2. CONTINUING GROWTH STORY (core brand is cash cow, and funding expansion of proven concepts like Janie and Jack and exciting new Old Navy killer Crazy 8, which my wife said is going to take all of her other mommie friends by storm as soon as they hear of it).





3. VERY ATTRACTIVE PRICE (PE is at a discount to its poorer-performing peers, its own historical ranges, and its growth rate with a PEG of 0.91), thanks to generalized concerns about economy and retail sector (which doesn't really appear to be pinching this particular company very much, since they continue to report increases in same store sales, beat earnings expectations, and raise their future guidance).

Report this Post Replies: 0 | Reply