Best Buy - The Price Is Now "Matched"

When was the last time you shopped at Best Buy?? If most people are like me it has been ages since you've physically been into their store. I used to appreciate the days when they were perceived as the low cost alternative against Circuit City and other high cost electronic box stores.  When Circuit City departed, I thought it was smooth sailing for these guys.  They were the place to turn for all my electronics and gadgets, until I started shopping online.  I still was somewhat loyal to Best Buy but this dried up because they had nothing for shoppers that valued nice products and moderate prices.  The 'Magnolia' line of products is great but EASILY way too pricey and the other lines of Best Buy branded products aren't appealing for a semi-techie guy like me that actually reads CNET reviews.  So unfortunately I exclusively started shopping online with Amazon, Newegg, and directly from electronic manufacturers (Lenovo, Dell, etc) that offered the best pricing for my products.  I even became a dreaded comparison shopper recently when I bought my entertainment system for my HD, surround sound, bass booming media room.  I went to Best Buy and was quoted thousands for a TV alone and then thousands for my surround sound system, and wiring.  I decided to by my TV online and applied the extra saving to more inches (I'm over 60 inches).  Then my receiver for my entertainment system was bought through an Amazon Gold Box deal.  My surround sound speakers came from Newegg (they even threw in free wiring) and boast enough beats to watch sports or pound out a building thumping boom from the 4th floor.

But, there may be redemption!! Best Buy just announced that they will price match competitors INCLUDING their online prices. This price effect starts NOW and is good through Nov. 17. They will revisit this matching program for the BLACK FRIDAY seasonal dates: Nov. 27 - Dec. 24. I follow the company as a possible investment but Main Street should take advantage of this unique opportunity to go back to the old school way of touching and buying your product in a store. You can walk away feeling pretty good because you came in with the BEST PRICE and they will match it without much hassle. I like physically inspecting my items and this is music to my ears.

Been Busy...

Some would say being right on the money. Well lets look back at over four months ago, when we told you to re-allocate your portfolios because the worst ain't here yet. And what have we seen is that are call is right on. The Dow has continued to plummet to the level I thought we wouldn't hit for awhile. and that is roughly around Dow 8000. This is a compelling moment because months ago I said that I would recommend that we all start inching back into the market, but at this point the news continues to be bad. Just searching articles on the internet you may come across these themes: Banks Need the rest of the TARP Bailout - Citigroup is selling their brokerage unit! - Bank of America is showing signs of cracking Retailers are not looking good. - Even Walmart sales are declining - Circuit City can't find a buyer and is liquidating all their stores!! Unemployment rates continue to rise - GE Capital is set to shed 11000 jobs Downgrades send stocks to their 52week/all-time/all world lows There is no strategy when the headlines read like this. The only thing is to stay the course with the consistent message that we've had before. I repeat I am and have recommended that you are completely out of the stock market and fully allocated to Treasurys and cash assets. This is especially true for your 401K portfolio because it primary purpose is capital preservation...not appreciation. A portion of your portfolio needs to be exposed to the market and I recommend that you have your own trading account where you can DO IT YOURSELF (DIY)...I don't need Bernie Madoff or any other scandalous investors out there losing my money...when I can do that on my own. It this portfolio you should be shorting more that buying things. Find attractive price points (see previous posts on price points) for both buys and shorts:

SHORTS:
- SSG: ETF that shorts the Semiconductor Sector
- KBE: EFT that shorts the Retail Banking Sector
- Also short the retail, and credit sensitive sectors
BUYS: - BBY: Best Buy is primed for increased earnings now that Circuit City is going BANKRUPT
- V: VISA is down towards their Initial Public Offering (IPO) again after being downgraded

I'll be back to update this post later

Black Friday Shopping

Isn't it funny that someone somewhere marketed the day after Thanksgiving as Black Friday. It has become the day where no one gets any sleep and we all get up and spend money selfishly. Kinda the opposite thinking for the day day before...THANKSGIVING! How many people are out there buying things to give them away to the less fortunate. Not many is what I'm guessing, but hey what do I know. But come to think of it a new GPS navigation system has been on my list for awhile and its funny that I am bullish of this industry as I think this will continue to be the trend.

I guess I am feeling like a little bit of a scrooge today because with a little bit of a rebound today in the market (its up roughly 1%) that my portfolio isn't moving in line with the market today. I even have Best Buy in my portfolio so what gives. So on a day like this when I should be shopping, I will give you my random thoughts of stock recommendations and things I've heard as I've kept my ears to the street:

E-trade (ETFC) - The rumors are this stock may be up for SALE, what the #$%$#. How is this possible, those pesky mortgages are likely the reason. Its up roughly 20% today on news that it could sell itself to TD AMERITRADE (AMTD) OR CHARLES SCHWAB (SCHW)

The retailers are making a move today, Target (T), Walmart (WMT), Kohls (KSS), Best Buy (BBY), Circuit City (C), and others are moving higher.

Urbanomics Recommendation of the Day:

I have had this one on my BUY list but I can't remember if I have ever formally recommended it here. The stock is Electro Scientific Industries (ESIO) Buy Price @ $19.47