Just Group (ASX: JST) downgraded its earning forecast by a whopping 10% and following the downgrade its shares shaved 12.6%, to close at $2.78. P/E ratio estimate for 2007 is around 8.8045 and actual current ratio at 1.46.
Can Just Group be THE indicator of an increasingly slowing consumer spending? It's management thinks so. And backing their view is the Westpac-Melbourne Institute Consumer Index which recently released that consumer sentiment dipped 5.6% seasonally adjusted from May to June.
For all we know the inflation fueled razing of consumer sentiment is kicking in as evidenced by the RBA which recently decided to hold its rate. A sign that the series of rates hike are dampening the insatiable consumer demand backed by the current mining boom.
But is it all what it seems? To me, perhaps its just not the drop in consumer sentiment but its labels: Just Jeans and Jays Jays are no longer capturing the market with its repetitive and stale designs that might have been 'cool' a few years ago.
Having been into Jays Jays outlet recently didn't really attract me as its range of designs were pretty much the same as a year ago. Dull, plain and boring. In other words, they are still in iPod generation ONE mode.
Just Group doing Just OK.... to me.
Can Just Group be THE indicator of an increasingly slowing consumer spending? It's management thinks so. And backing their view is the Westpac-Melbourne Institute Consumer Index which recently released that consumer sentiment dipped 5.6% seasonally adjusted from May to June.
For all we know the inflation fueled razing of consumer sentiment is kicking in as evidenced by the RBA which recently decided to hold its rate. A sign that the series of rates hike are dampening the insatiable consumer demand backed by the current mining boom.
But is it all what it seems? To me, perhaps its just not the drop in consumer sentiment but its labels: Just Jeans and Jays Jays are no longer capturing the market with its repetitive and stale designs that might have been 'cool' a few years ago.
Having been into Jays Jays outlet recently didn't really attract me as its range of designs were pretty much the same as a year ago. Dull, plain and boring. In other words, they are still in iPod generation ONE mode.
Just Group doing Just OK.... to me.
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