Sears Canada Inc SRSCQ

closing stores is good thing

[extremerisk]

Stranzl is first ceo in 10 plus years who is focused on business. Sears has never closed a home store. Why keep something that produces no ebitda. They are over $30 a share in cash trading for $4 so getting close to 10 percent of sales. That is a bankruptcy price but based on last report with Vaughan sale they are close to $4 cash so this is a buy. I still see a cheap go private risk here as Lampert has cash to do it. That would limit the upside. Actually he can lever existing cash balance in sears canada to do a go private for almost nothing at this level.

[Roverthing]

New low again today. You see a good potential here but according to the actual SP the other investors don't seem to see the same thing that you. GLTA

[extremerisk]

Yes you are right. Keeps going down on low volumes. Lampert and berkowitz have all the shares. I have not added as feel risk of go private and will be a cheap price. Just like sirius deal that is in play now. If no go private than upside huge here. Spin off year and half ago at 9.50 which was deemed fair price. How does one get to 3.75 after little more than year. Makes no sense.

[Roverthing]

I am wondering to know how low this stock will drop. This stock has a lack of interest and is manipulated down to decrease much more I think. I am going to wait to buy maybe in a couple of months it will be 2.00, who knows? With not much buyers as we can see, if there is a couple of big sellers, it could drop to 2.00 quite fast. IMO

[Roverthing]

I don't have level 2 and I would appreciate if someone could post it please. Thanks.

[Roverthing]

Extremerisk- How to justify the very high volume of shares traded today?

[extremerisk]

Yes very interesting. Sears Canada is held by very big guys mostly lampert and berkowitz but second tier hedge funds like Chou also hold it. I suspect it's the second tier moving money around. Berkowitz has been a buyer though. If him he will have to disclose on sedar. I still think risk of go private which would cap potential gain on this and leave future gain for lampert. Hard to read if

[Roverthing]

New low again today with a volume much higher than the average volume per day. The big question is how low could it drop? So many people just want to get out of this falling stock before the financial results. Good luck. IMO

[Roverthing]

extremerisk- What do you think about this continued decline?

[extremerisk]

This is totally bizzare trading roverthing. Last quarter with cash deals they reported proforma cash of $386 million divided by 102 million shares is 3.78 a share. Stock closed today at 3.25. So did they burn through 54 million cash in q4. I doubt it. So we are now trading at cash value. While risk of go private exists we are too cheap now. I plan to add at this level. Even if sears is the worst

[Roverthing]

I am planning to buy probably after the financial reports on Friday, maybe at 3.00 or below who knows?  I have never imagined that someday the shares of Sears Canada would become that cheap. Now the question is: Is it an excellent opportunity to buy or the beginning of the end for Sears Canada? At this price it becomes very speculative and scary for many investors. GLTA   IMO

[biller27]

imho I would save my money. They have gone through 4 CEO's in 3 years, continuous revenue decline and they have lost their credit card revenue. The card revenue from Chase paid them a pile of money and they have not been able to sign a new banking deal. The payment plans helped drive a lot of big ticket buisness and this option is gone now and if they do sign a new deal it will certainly not

[extremerisk]

Amazing how lampert been able to take, this down. They need to report soon and annual meeting coming up where the go private, announcement will be made. Not sure how much lower it can go. I added more at 3.30. Will add again next week. This looks like go private set up!! If berkowitz let's him do it he will steal the company at such a cheap price. Not replacing financing on big purchases was

[Roverthing]

Extremerisk- For sure something is being cooked here now. There is too much manipulation to bring the price very low. I feel that it is scary to buy now because they decrease it much more. In case they go private, at what price do you think that the offer would be?

[extremerisk]

I thought 4.30 good buy and now at 3.30. I plan to buy more. Put a few hundred shares at the bid since volumes are very low. Friday had 5000 o Canadian side and 30000 on US side. They knew Jp Morgan was leaving for a year and did not line up new financing??? Home stores do a good chunk of business and leons an brick have n trouble with lining up financing deal. This was done on purpose. I figure