PetSmart, Inc. (NASDAQ:PETM)
The Company is a provider of products, services and solutions for the lifetime needs of pets.
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Pets are big $. Strong branding. Good growth potential.
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This plays nicely into macro trends with 360m pets in the US. Rapidly increasing revenues in pet services should help boost the top line. The fact that you can't take your pet into Walmart will always mean that Petsmart have a niche.
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Involved with much more than just pet food and suplies - they are becoming a full service company that caters to everything "Pet". Being a pet person myself, I'm well aware the lengths we will go for our pets. I love this place!
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more people are spending more on their pets.
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PETM is currently oversold, possibly over concerns that WMT and Target will supplant the big-box pet store concept, and possibly because of high gasline prices. Yet PETM continues to grow at the top line and the bottom line, and is succeeding in its new pet services area - something that WMT and its ilk can't duplicate.
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I can't explain why this stock is so near it's 52-week bottom. But, it won't stay there. People are spending money on Fido, and the boomers are going to spend even more on pets in the decade to come. PETM will beat the S&P.
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Cheap stock, troubled competition, growing trend/demographic.
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Great brand. Good pricing. I love my pet and so do you, shop at PetSmart to make them happy.
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Undervalued and in a hugely booming industry. We have two puppies and treat them like gold - I think more and more families are working 2 jobs, putting off kids, and having fun with their pets.
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Aggressive expansion plans. Experimenting with new value-added veterinary, grooming and pet hotel services. Soon the days of buying Old Roy at the local supermarket will be a thing of the past--for any self-respecting pet owner. PetsMart is creating the hip speciality canine retail brand. Makes my tail wag.
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This stock was picked by TMF Lomax.
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