Workday's risk versus reward scenario places profits in a dangerous "grow-at-all-cost" mentality.
Barnes & Noble investors deserve a novel idea. And this "new deal" isn't it.
Management seems more willing to take the sort of risks to return long-term value to shareholders.
There's no better bargain in the retail sector, and $65 per share is a realistic result for 12 months from now.
With the stock trading at around $25 per share, there's at least 20% of upside to these shares in the next 6 to 12 months.
With some luck and solid execution, Yum! can immediately reverse the decline in both same-store-sales and net income, which makes this stock one of the best bargains on the market.
Absent better operating results and a clear recovery plan, I wouldn't dare touch this stock at any price above $3.
On the basis of long-term margin expansion and 3% to 4% volume growth, these shares should trade at $45 by the second half of the year.
To the extent that management can execute on long-term plans to improve operating margins, I don't see how this stock will ever get flat.
With the Street fearful of the company's near-term outlook, now is the best time to nibble on McDonald's.