Tuesday, July 29, 2008

buy mso

It will be impossible to avoid Martha Stewart (MSO - commentary - Cramer's Take) on TV in the next few weeks. Her firm will be rolling out a new line at 3,000 Wal-Marts (WMT - commentary - Cramer's Take). The Bentonville, AK colossus is going to show Martha how it can push a product and how crafts, a $30 billion industry, can be dominated by her.

I continue to believe that people do not understand how loved her brand is in mid-America. This crafts initiative, I believe, will quickly plug the hole until the Sears/Kmart (SHLD - commentary - Cramer's Take) deal ends in 18 months. And I believe Wal-Mart wants that deal so to show her how big she can be in WMT stores.

But Wal-Mart has tough competition from Macy's (M - commentary - Cramer's Take), which also loves her stuff.

All of this is the icing on the cake of the story that Martha told on the conference call. This is the first real good quarter in a long time and I believe the first of many.

This company is morphing rapidly from a publishing company -ugh--to a merchandising company. And the retailer that you most want to merchandise with is Wal-Mart.

Now that this quarter is out of the way, I would buy this stock aggressively right here right now.

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