 |
 BKS Is A Hot Buy On Black Friday by Corey Williams, Editor I hope you filled up at your Thanksgiving Day feast… You're going to need lots of energy to battle through the sea of humanity kicking off the holiday shopping season today. That's right… It's Black Friday - The busiest shopping day of the year. -------------Sponsor------------- How Little-Known "Regulation AC" Can Help You Turn $300 Into $1.3 Million Trading Penny Stocks! A simple five-paragraph rule adopted by the SEC on August 20, 2003 is quietly making a small group of investors very rich. And the timing on this couldn't be better with everything that's going on in the market! Click here to discover their secret… ----------------------------------- Just the thought of it sends a shiver down my spine… You won't catch me near a shopping mall or any retail store for that matter. Sorry, but I'm not willing to stand outside for hours to get a 50 inch flat screen TV for $200. But if you are, I'm sure you can find some smokin' deals. Hey, to each their own. But that doesn't mean I'm anti-Black Friday. In fact, Black Friday could kick-start a revival for one downtrodden specialty retailer. You see, one of the hottest products this holiday season is tablet computers. The craze started with the success of Apple's (AAPL) iPad. And Apple's latest version, iPad 2, still dominates the tablet market. However, there are a few competitors who are starting to eat into their market share. Amazon.com (AMZN) and Barnes & Noble (BKS) are leading the charge. They're combining their popular e-readers (AMZN's Kindle and BKS's Nook) with a tablet computer. The result is a low priced tablet that sells for about half the price of an iPad with loads of digital content. Simply put, the Nook Tablet is a godsend for BKS. Remember, we're in the midst of a once in a lifetime transition from print media to digital media. And there's still a lot of uncertainty surrounding the valuations of the new digital media companies. But we're starting to get a better idea… and it's great news for companies like BKS who already have e-readers and digital content. Earlier this month, the Japanese Internet-service company Rakuten announced they were buying Kobo, an e-reader and e-book company. The purchase price is roughly twice Kobo's yearly net revenues. An analyst for Morningstar said, "investors are speculating that if Barnes & Noble spins off its digital business, it could also fetch that multiple." Analysts expect BKS to reach annual revenue of $7.7 billion next year. But it's not all digital content. They still sell lots of books, CDs, and other non-digital products. The problem is BKS doesn't breakout how much of their revenue comes from different business segments. They say it's for competitive purposes… But there's no denying the digital business is the future. Revenue from digital sales is the growth driver. And digital sales will continue to increase as they sell more Nooks. Here's where it gets really exciting… If we conservatively estimate $1 billion of BKS revenue comes from digital sales, then based on the Kobo valuation, BKS' digital business alone is worth $2 billion. Right now BKS has a market cap of $940 million. That's means BKS needs to more than double from its current $16 price. As a result, BKS's shares are surging. Just look at this chart…  As you can see, BKS is up more than 36% over the last few weeks. And based on the Kobo deal, there's still plenty of upside. The best part is BKS finally pulled back. The stock got caught up in the massive market-wide selloff on Wednesday. This looks like a great entry point to me… You can take a look at BKS's new Nook tablet for yourself on Black Friday… if you're brave enough to battle the crowds. It's one of the hottest gifts this holiday season for a reason - it's also why BKS should have a place in your portfolio. | Friday, November 25, 2011  • ViroPharma (VPHM) hit a new 52-week high of $23.00. Their market cap is now over $1.5 billion. • Broadcom (BRCM) hit a new 52-week low of $30.33. They have a market cap of just under $16.5 billion. • Diamond Foods (DMND) hit a new 52-week low of $26.94. Their market cap is now over $613 million.  "Spend at least as much time researching a stock as you would choosing a refrigerator." -Peter Lynch   
 How To Buy McDonald's At A Big Discount Wednesday, November, 23, 2011 More Disappointing Economic Data? Tuesday, November 22, 2011 You Won't Believe What Buffet's Buying Now! Monday, November 21, 2011    |
 Copyright 2011 Hyperion Financial Group, LLC. All Rights Reserved. Protected by copyright laws of the United States and international treaties. This email may only be used pursuant to the subscription agreement controlling use of the Dynamic Wealth Report website and any reproduction, copying, or redistribution of this email or its contents, in whole or in part, is strictly prohibited without the express written permission of Hyperion Financial Group, LLC. LEGAL DISCLAIMER: Neither Hyperion Financial Group LLC nor any of its employees are a registered investment advisor or a Broker/Dealer. As such, Hyperion Financial Group, LLC does not offer or provide personalized investment advice. Although Hyperion Financial Group, LLC employees may answer general customer service questions, they are not licensed under securities laws to address your particular investment situation. Nothing in this report, nor any communication by our employees to you should be considered personalized investment advice. Owners and writers may have positions in the securities that are discussed. However, no associated employees may intentionally engage in any transaction that directly or indirectly competes with the interests of our subscribers. We accept no compensation from any companies mentioned in our reports. Past performance is no guarantee of future results. All information is issued solely for informational purposes and is not to be construed as an offer to sell or the solicitation of an offer to buy, nor is it to be construed as a recommendation to buy, hold or sell any security. All opinions, analyses and information contained herein are based on sources believed to be reliable and written in good faith, but no representation or warranty of any kind, expressed or implied, is made including but not limited to any representation or warranty concerning accuracy, completeness, correctness, timeliness or appropriateness. Investments recommended in this publication should only be made after consulting with your financial advisor. Any brokers mentioned herein constitute a partial list of available brokers and is for your information only. We do not recommend or endorse any brokers, dealers, or investment advisors. |
| This message was sent to ignoble.experiment@arconati.us from: Hyperion Financial | 20701 N Scottsdale Rd, Ste 107-154 | Scottsdale, AZ 85255 | Email Marketing by |
| Manage Your Subscription | Forward To a Friend |
No comments:
Post a Comment
Keep a civil tongue.