So what’s doing well today, well that would be Sotheby’s (BID) hitting a new 52-week high today at $45 and change a share.
Last Monday JMP Securities analyst Kristine Koerber raised Sotheby’s to "Strong Buy" from "Market Perform." While the shares are up almost 60% in the past year, Koerber said in a really clever quote it’s "not too late to start bidding" on Sotheby’s. Cute huh?
Sotheby’s derived most of its $665M in revenue last year from commissions. The auction house is based in Bloomfield Hills, Mich. and they charge hefty commissions to both the buyers and the sellers of crap you can’t afford.
Sotheby’s trades at 18 times her 2007 estimate. In its history, the stock has traded anywhere from 13 times to 40 times earnings.
It is very possible that Sotheby’s could be auctioning the King’s stuff soon, that’s right, the one and only Elvis Presley. Some of Elvis’ memorabilia is sitting in a Nevada airport hangar pending resolution of an ownership dispute. The collection, known as "Dr. Nick’s Memories of Elvis," consists of items once owned by Dr. George Nichopolous, once a personal physician to the rock star who died of heart disease and prescription drug abuse in 1977 at his Memphis mansion (Dr. Nick from the Simpsons anyone?). Just imagine if Sotheby’s gets to sell that stuff, mo money baby. Mo money.