Earlier this month, Stage Stores' (SSI) stock rallied sharply following strong earnings and an announcement that the company authorized a $200 million shareholder buyback program. In our March 8, 2011, article, Add This Retail Play to Your Watchlist, we wrote that "investors would benefit by tempering their bullishness and waiting for the excitement to fade before establishing their positions." The stock closed at $18.37 on March 8th and traded as high as $19.95 in the days following the announcement.
Today, the stock traded below the March 8th closing price. At $17.30, the company has a projected forward P/E of 15.45 based on the average of the company's 2011 earnings forecast. Excluding current cash on the balance sheet, the company's forward P/E would be about 13.50. This may be a good entry point for
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