I got paid today, and have another couple hundred that should be showing up in my account any day now as well. I have enough to pay off my credit card, and have some left over, so I decided I could afford to invest $250. I debated about which stock to buy. I have been looking at Cabelas (CAB) but I think I have time yet before it starts to go up. It has mostly been going down, but I think that is because they are spending lots of money at this point building their retail centers. I will probably buy some in the next month or two. I looked at stocks I already own. Target (TGT) looked good. The stock has gone up in the last few days, but it is still fairly close to where I bought the shares that I currently own. But I have also been looking at Lowes (LOW), the hardware chain. After comparing Lowes and Target, I decided to buy some Lowes. Lowes has a lower P/E of 19.53 compared to Target’s 22.26. Lowes growth over that last 5 years has been 38.4% per year, compared to Target’s 9.3% per year. Analysts estimate Lowes growth for the next 5 years at 18% per year, compared to Target’s estimates of 15% per year. If you compare charts, Lowe’s stock price has risen better than Target’s over that last 5 years. So between the two, I decided to go with Lowes. I may buy some Target next week. Or Cabelas. Or some more Red Robin (RRGB). Or some more Dick’s Sporting Goods (DKS), or, or, or…
Actually looking at Dick’s Sporting Goods, I am almost thinking of cancelling my Lowes order, and buying more DKS. Their growth estimates for the next 5 years is at 20%, but they have a higher P/E of 25.41. Maybe next neek.