February 14, 2008

Visiting the Strategy Lab

One of the sites I used to frequent was the MSN Strategy Lab. This is an investing "contest" between several investors that pick stocks based on a particular investing style. I haven't read anything from this site in a while. In fact, it had been so long that my bookmark was outdated. After some searching, I finally found the site here.

One of the players in the contest is John Reese who frequently comments on stocks for Zacks. His investment portfolio for the current round of the Strategy Lab is based on the models of various investors such as Buffet and Graham.

American Eagle Outfitters and the Men's Warehouse are among his current picks. He notes that the Men's Warehouse pick was based on his Value Investing model (Benjamin Graham) and AEO is based on his Patient Investor (Buffet) model.

I have written about the Men's Warehouse before and I know that the Fool is big on AEO (I believe that the company themselves own stock). Doing additional searching on the Men's Warehouse led me to this article at CNN Money.

"Hamilton identified The Men's Wearhouse (MW), AnnTaylor (ANN) and American Eagle Outfitters (AEO) as companies with positive long-term fundamentals despite concerns about consumers being "queasy." They all trade for less than 15 times earnings estimates and have debt to equity ratios below 1."

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