Outperform - Price 24.47 on Sept. 2
by Wedbush Equity Research

We are maintaining our F09E-EPS estimate of $1.08 versus $1.17 [last year], as we look for modest margin recovery in [the second half]...MW is expected to report second-quarter results after the market close on Sept. 9. Based on a blended valuation methodology of enterprise value/ sales, EV/Earnings before interest, taxes, depreciation and amortization, and price/ earnings on our F10 forecasts, we derive a six-to-12-month price target of 29. We recommend that investors accumulate shares, as we anticipate solid 2Q earnings and in-line 3Q guidance to provide a positive near-term catalyst -- while we believe that, longer-term, the company could return to normalized operating margins, implying over $2 in earnings power and compelling discounted valuation relative to historical average. Men's Wearhouse is one of North America's largest specialty retailers of men's apparel, with 1,284 stores. The stores carry designer, brand-name and private-label suits, sport coats, furnishings and accessories, including tuxedo rentals available in the Men's Wearhouse, Moore's, K&G, and MW Tux stores. Market cap: $1.3 billion.

He says it's going to get uglier before it gets better. The names with the most earnings risk are Men's Wearhouse [MW], Tiffany [TIF], Abercrombie & Fitch [ANF] and J. Crew [JCG].

Good pick

Short-term gain

#90

mw -
mkt cap - 2.68B
roa - 13.16
roe - 22.20
trailing p/e - 16.97
fwd p/e - 14.82
PEG - 1.1
# qtrs missed in last 4: NONE

Currently in a rapid growth phase.

From Barron's 5-21-07

"First-quarter EPS of 75 cents surpassed our 63 cents estimate...Weakness in the U.S. tailored business led to a [1.3% decrease in comps], while Canada remained solid and delivered a 5.8% increase. The gross margin rose by 354 basis points [3.54 percentage points]...We are raising our 2007 EPS forecast from $2.84 to $2.90 and 2008 outlook from $3.18 to $3.35...Applying the softlines-sector P/E multiple average of 16 to our upwardly revised 2008 EPS estimate of $3.35, we are raising our [12-month] price target to $55 versus $50 previously."

Downgraded by Matrix Research from Buy to Hold

Been a great steady stock.

Crazy !!