Staples (SPLS)
Financials 
Technical Analysis 0
WATCH
BUY
Office supplies. Very mature business. As long as the US employment improves over time, people are going to need office supplies. This company pretty much has dominant market share. Generates a significant amount of free cash flow. They are buying back shares hand over fist. Great dividend increaser. Valuation is remarkably cheap at 8X this year's earnings.
Barry SchwartzOwned
specialty stores
DON'T BUY
This is a stock he would have liked to own but hasn't for a little while. Office supplies has been a pretty tough market to be in. Their biggest product has been paper over the years. People have been using less and less paper. If you think you are getting a strong economic recovery, this might be one to look at.
specialty stores
TOP PICK
Largest office supply company globally. 2nd biggest online retailer globally. Trading for less than 10X earnings. Beautiful balance sheet. Just raised its dividend 10%. Very strong free cash flow yield.
Barry SchwartzOwned
specialty stores
COMMENT
The model price is $28.46, a positive 30% differential. Thinks this would be consumer discretionary, which is not the favourite of most portfolio managers, but this is done very well to hang in there. Not cheap enough to get into his portfolios but doing a very good job in a hostile retail environment.
specialty stores
BUY
If you are going to be in the retail/consumer sector, this is a good one to be in. 75% of their revenue comes from spending by businesses which he likes. Not too expensive.
Brad WillockOwned
specialty stores
TOP PICK
TOP PICK
Expects accelerated earnings growth next year. In a recovering economy, you'll see a tremendous growth in small-business which will be a tremendous help.
Gretchen LashOwned
specialty stores
TOP PICK
Has done extremely well against competition. Had some major issues 1 1/2 - 2 years ago and has sold them. Can grow its earnings about 16%. Selling at about 20 X next 12 months earnings.
Ed BrownOwned
specialty stores
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This whole sector has been hit very hard. Just dropped a couple of dollars in the last few days because of poor results and they weren’t very positive looking forward. Because of that, he will look at this more closely now. Would buy it at this time as he expects there will be tax loss selling in the future.