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instinct

$2.33
9/29/08
$2,117,115.19

5
02/27/09
109.5%
111.7%
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Stock Pick by instinct

ANF: Quick Lesson.

Start trading ANF with real money!

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8 ratings
Posted 475 days ago on 11/28/08

ANF will go UP
$24.00 on 2/28/09
$44.67 (131.09% from time of market call)
$25.36 (31.20%)
on 4/24/09

ANF definitely has red flags due to potential effects of the current finacial crisis we are in, but there is also good news. Reason's why to buy 1)They have good Cash Flow. 2)Only 100mil Total Debt. 3)Trading under book value 4)Their P/E Ratio is approximately 6 5)They have been consitent in earnings and earnings growth last 6 years. 6)They Pay a dividend (last 5 years) 7)Revenue Growth Obviously I'm not getting into depth. I have yet looked into their managment, but I didn't see anything hiding in "Goodwill" or any other hidden cost through my quick glance through. Some quick red flags, or reason's why to avoid: 1)Large institutional owner ships (94% to be exact). They start selling, look out below. 2)The have an option plan, and a lot of selling this past year. Free money which doesn't align their employees with the stock holders. 3) Recession. On the brightside, 10% of the shares outstanding-float are short-interest. They'll have to cover at some point and might give a very tiny bounce... heh. Anyway, that's my quick analysis of ANF. There's more to look at, and if it wasn't for the high institutional ownership (which some people like), I would rate it a strong buy, but... My Rating: BUY Good Investing!

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