DIET

[David Randolph]

I just want to highlight the extraordinary contribution 1reilly is giving to our community on his thread on the Members Board: Mike & Diana's Mission

I am pleased to read that he likes the food coming from eDiets.com 

Bottom line, the quality of the food, the ease of preparation, ease of acquisition, and desire to have something healthy around all the time will have me re-ordering and I think so will other users.

This company's product acceptance now only depends on quality of food. I can tell you right now there is a huge difference between Nutri's food and eDiets. People will pay for quality end of story.

The price is higher, but quality is also superior as we thought. If costumers are occasional on both services, for an occasional service we usually prefer the highly quality one, specially when it regards health. Eating at a fine restaurant also costs 3 times more than eating at McDonald's and nobody sees a problem with that ...

1reilly contribution makes me more certain DIET is a great long term pick, I thank him for that.

I've been reading their website, it was remodeled: Fresh Cuisine

Just a small negative: what's that advertising to a competitor doing on the homepage? (Lean Cuisine from Nestle)

I think DIET will be at least a $1B market cap in the future and I'll continue holding the stock for the long term.

[metro]

That's the name "Lean Cuisine" I think - was in the USA about 6 years ago and someone took me to a Sams Club and I saw there frozen dinners in bulk at under $3 so it surprised me to to see in the 1reilly area that the cost form DIET is a lot more.

I am very thin so can eat anything...but maybe Lean Cuisine makes the product? do not know how the two differ

[fous]

Lookin better every day

[422fwhp]

A third soldier joined in the bullish march today.   

Jody

[David Randolph]

It looks like after a 50% Fibonacci retracement, finally DIET is ready to climb and make new highs. Fundamentally this pick is as legit as it can be. Now the market is starting to agree, and that's a beautiful thing.

1reilly made an outstanding job on DIET, and it looks like the stock will reward him and pay for those meals many fold  That's the beauty of buying products of companies we invest, it feels much better.

Never thought about this, but can this issue be a factor influencing consumer psychology in the US? More than 50% of households invest in stocks, so they're inclined to consume products of the companies they invest?  Just a crazy idea, but capitalism is really amazing when it works so well as in the US (at least from an international point of view)

We have to remember that in the 4th quarter of 2005 Fresh Cuisine didn't exist yet, so the quarter may disappoint some investors. What matters most is the guidance, everybody will want to hear how the new service is going. And I bet its going well, after what we've heard from 1reilly.

If we close above $8.20 we get a technical target of $9.87.

[David Randolph]

That's the name "Lean Cuisine" I think - was in the USA about 6 years ago and someone took me to a Sams Club and I saw there frozen dinners in bulk at under $3 so it surprised me to to see in the 1reilly area that the cost form DIET is a lot more.

I am very thin so can eat anything...but maybe Lean Cuisine makes the product? do not know how the two differ

Well, eDiets food service, Fresh Cuisine, delivers fresh food, not frozen. That seems to be the main difference.

Lean Cuisine is another frozen food service as NutriSystem's service. I hope Nestle is paying a lot to have that advertising on the Homepage 

Nice to see you metro, good trades !

[fous]

If we close above $8.20 we get a technical target of $9.87.

Hey Dave im just curious of where you got your 9.87 technical target since you didn't explain it in your post. Right now i see two technical targets of 9.30 or 10.19 depending on how you judge the ascending triangle.

regardless of targets, were lookin bullish again

-fous

[David Randolph]

Hello fous 

Explanation for my target:

1) Forget $8.60 as the high, since it was a "funny" open with just 100 shares traded.
2) So, the high of the move was $8.20
3) The low of the correction was $6.53
4) If we get a bullish breakout of $8.20, the technical target is $8.20-$6.53 = $1.67+$8.20 = $9.87

Of course, this is just a technical indication. Your triangle, although correct, is subjective when it comes to a target. Again, the most important thing is the chart is pointing north 

[fous]

Hello fous 

Explanation for my target:

1) Forget $8.60 as the high, since it was a "funny" open with just 100 shares traded.
2) So, the high of the move was $8.20
3) The low of the correction was $6.53
4) If we get a bullish breakout of $8.20, the technical target is $8.20-$6.53 = $1.67+$8.20 = $9.87

Of course, this is just a technical indication. Your triangle, although correct, is subjective when it comes to a target. Again, the most important thing is the chart is pointing north 

Thanks for the clarification Dave, I see now your kind of looking at it as a short term trading range breakout.

-fous

[brandyjoco]

Yahoo has an Earnings announcement date of 2/23/06 under Analyst Estimate:

Next Earnings Date: 23-Feb-06 -  Set a Reminder

[jlong]

Just seen an ediet commercial on television on the A&E channel. Looked good, I think this may go big.

[David Randolph]

Yahoo has an Earnings announcement date of 2/23/06 under Analyst Estimate:

Next Earnings Date: 23-Feb-06 -  Set a Reminder

Thanks for the information brandyjoco 

23-Feb-06 is next Thursday. Analysts estimates are for EPS of $0.05. What I find quite strange is the estimate for the 1st quarter of 2006, which is for EPS of -$0.15. Actually, due to the new food delivery service which started on January 5 (and favorable seasonality on the 1st quarter, with the new year resolutions), I expect the 1st quarter of 06 to be stronger than the previous quarter.

I wonder if these estimates aren't out of date 

Just seen an ediet commercial on television on the A&E channel. Looked good, I think this may go big.

Cool jlong 

DIET is playing with the $8.20 level at this moment. If the stock is able to close above this resistance level, it will be free to fly to about $10 over the short term.

Nevermind past results, what matters most is the guidance the company gives on Thursday. And I expect it to be positive guidance (certainly much better than the -$0.15 analysts are predicting) and the market will finally notice, as Michael said, this company moving from the online world to the old world of fat revenues and profits.

In part, owning DIET's stock will be like owning a nationwide theme restaurant chain, but probably with larger margins.

For trading purposes I'm expecting a breakout of the $8.20 level and will try to take profits at an overbought level (probably to buyback at a lower price). On the Long Term Portfolio I'll continue holding DIET for the long term, as I feel this is one of my most legitimate picks (1reilly has been a great help in achieving this, again, thanks a lot  )

[wrangler]

Earnings estimale by Starmine for DIET
http://tinyurl.com/nhg7y

[Athakinu]

I don´t think we will have earnings announced this week. I recently sent investors relations e-mail asking about if they had some numbers on the Fresh Cusine and got this answer back -

"We have not given out numbers at this time but will update investors on our 4th quarter call which will be during the second week of March.



Sincerely,



John Mills"

[shawFund]

DIET may have a new year high tomorrow.

NTRI gave a very good report and gained 12% AH.