April 29, 2011
United Stationers, Inc. (USTR)
Written By Neil Macneale III
“March provided a list of four diverse companies all announcing 2 for 1 splits. United Stationers, Inc. (USTR) scored very well on our ranking screens and is the clear choice for inclusion in the 2 for 1 portfolio when the market opens next week. USTR is a distributor of office supplies and many other ‘housekeeping’ items used by all types of commercial enterprises. It also wholesales to retail office supply stores.
“This is a rather mundane but obviously necessary niche in the business world and USTR has developed a strong business exploiting it. United Stationers pays a modest dividend and is a good value with a P/E of 15.4 and a price-to-book of just over 2. This is not a wildly profitable or fast growing business but it is on a very solid footing and should turn in some good results as the economy improves. It does have a volatility index higher than the overall market’s, but that was the only negative parameter among all the screens in our ranking formula.”
Neil Macneale, 2 for 1 Stock Split Newsletter, 4/15/11
I have a web site where I research penny stocks and stocks under five dollars. I have many years of experience with these type of stocks. If theirs anyone thats interested in these type of stocks you can check out my web site by just clicking my name. I would like to comment about united stationers. I think that office max and office depot are far better values then united stationers. Their on the retail side of the office supply business. I don’t understand why your recommending a stock in this business thats not really that much of a bargain compared to office max. I could see office max {OMX} easily reaching 60 dollars a share over the next five years. The stock currently trades at 10 dollars. Office max is still profitable they recently reported lower than expected earnings and lackluster sales’ but if spending by small and mid size companies picks up this should be very good news for office max The company still has a pretty decent balance sheet.