Thoughts about Back-to-School Season from Roulston’s Consumer Chair

Craig Johnson, President of Customer Growth Partners, and Roulston Research’s Consumer Community Chairman predicts this year will be a better back-to-school season than last year. “It will be pretty good, but only because last year was the worst since World War II," he says. His firm forecasts sales gain will average 5.2% for July, August, and September, compared with last year’s 3.3% decline.

No Change in Long-Term View for Schweitzer-Mauduit

A San Francisco presenter remains positive on Schweitzer-Mauduit'S (NYSE: SWM, $46.22) long-term prospects. The company lowered its 2010 guidance on today's earnings call, but the story is still intact. The thesis may take a bit longer to play out than originally envisioned, but SWM does have the dominant technology in the growing market.

Observations from Roulston Retail Expert

Arnie Cohen, former COO at J Crew and one of our retail experts, shared his thoughts on several retailers from his recent store visits and other channel checks. He says that Forever 21 is grabbing market share and doing extremely well with their high school and college shoppers. American Eagle is very strong in denim, but Abercrombie on the other hand is having real problems and struggling to reverse its slump.

Roulston/Dallas presenter likes Entropic(ENTR) Semi business home entertainment exposure

The multi room viewing options offered in Cable and Satellite is positioning ENTR technology is good market position for high revenue growth. Video streaming opportunities also will fuel longer term growth.

Roulston/Dallas presenter likes potential of new product at Heelys (HLYS) at current valuation

With the stock trading at its cash value the company is rolling out its new skateboard shoe. Although a narrow product line its valuation trading right near cash value is worthy as an option on any success of the shoe that the presenter feels may have novelty value.

Roulston/Dallas presenter likes Hot Topic (HOTT) hi cash and no debt

This retailer taking advantage of Pop culture trends has seen negative comps that with the help of new merchandising VP from American Eagle may be poised with great balance sheet to see a shift positive.

Roulston/Dallas presenter feels Auxilium(AUXL-Short) drugs have limited upside

Two drugs Xiaflex and Testim both concern presenter with limited upside potential and yet projections that seem to value the company still well above current upside potential.