Men's Wearhouse (NYSE: MW) closed at $24.99 after reporting a mixed Q3 outlook. MW options were active on contract volume of 3,238. MW September option implied volatility is at 45, October is at 51; below its 26-week average of 71, according to Track Data, suggesting decreasing price movement.

Sherwin-Williams (NYSE: SHW) closed at $58.65 after KeyBanc lowered its rating on SHW to Hold from Buy. SHW options were active on contract volume of 11,680. SHW September and October option implied volatility of 31 is below its 26-week average of 39, according to Track Data, suggesting decreasing price movement.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com.

Wednesday, Men's Wearhouse (NYSE: MW) posted solid earnings results but a disappointing forecast. Just a week ago, JoS. A. Bank (NASDAQ: JOSB) saw its second-quarter earnings increase 40% as well. The company earned 68 cents per share in the quarter, easily outpacing expectations for a profit of 54 cents per share. Unlike Men's Wearhouse, JoS. A. Bank did not issue a disappointing forecast -- so the stock has vaulted above prior resistance at the $44 level, which could now act as support.

Turning to a monthly chart for JoS. A. Bank, the stock is facing a crucial point -- as it is nearing its 2004 high in the $48 region. If the stock can topple this region, we could see it challenge the all-time highs set in September 2008. Considering the fact that the company's sales grew 10% in the latest quarter, I feel that a new all-time high may be a short jump away.

Men's Wearhouse (NYSE: MW) issued second-quarter results after the bell on Wednesday. In terms of bottom-line performance, the retailer passed with flying colors. Earnings per share increased to 75 cents per share from the adjusted 72 cents per share observed a year ago. Granted, that's only a three-penny difference, but when it comes to expectations, well, they were blown out the door. According to Reuters, Wall Street was only preparing for 60 cents per share.

Unfortunately, the top-line picture wasn't so pretty. Total sales fell 3.5%, and same-store sales for all of the company's brands declined. The flagship Men's Wearhouse concept saw a comps dip of 2%.

Men's Wearhouse (NYSE: MW) reported first-quarter results after the close Monday. Earnings dropped 47% compared to a year ago. Although earnings contracted due to fewer customers, cost-cutting measures helped the company top the consensus estimate and forecast solid second-quarter earnings.

First-quarter earnings checked in at 10 cents per share for the quarter, down from 19 cents per share a year ago but far better than the Street's forecast loss of a penny per share. Quarterly sales dropped 6% to $464.1 million from $491.1 million a year ago, as clothing product sales dropped 7.6%. Nevertheless, sales topped the consensus estimate of $459.3 million.

John Reese is an expert in analyzing the investment criteria of "legendary" advisors with time-tested strategies. And one market approach that may be of particular interest to investors during the current period of market turmoil is the value strategy developed by Benjamin Graham. (For more on this strategy, see our other post, "Three Rules of Value Investing".)

In his Validea newsletter, John reese explains, "Benjamin Graham -- considered the greatest investment guru by Warren Buffett -- built his reputation by using an extremely conservative, low-risk approach to investing." Buffett, incidentally, was Ben Graham's student.

Reese continues, "To Graham, preserving one's original capital was every bit as important as netting big gains. Having lived through the 1929 market crash, it's no surprise that the strategy Graham laid out in his classic book The Intelligent Investor was a conservative, loss-averse approach.

"To Graham, an investment wasn't something that could be turned into quick, easy profits; anything that offers such 'easy' rewards also comes with substantial risk, and Graham abhorred risk. In terms of specifics, Graham's approach limited risk in a number of ways, and my Graham-based model lays out several of those methods.

Monday May 21

• JPMorgan 35th Annual Technology Conference.
• Lowe's Companies Inc (NYSE: LOW) to report Q1 earnings; conference call at 9am. Lowe's is expected to post sub-par revenue results and an EPS decline, given the continued sluggishness in U.S. housing sector.
• PDUFA date for Shire plc's (NASDAQ: SHPGY) SPD-465 for ADHD in adults.

Tuesday May 22

• Staples Inc (NASDAQ: SPLS) to report Q2 earnings; conference call at 8am.
• Men's Wearhouse Inc (NYSE: MW) to hold conference to at 5pm discuss Q1 earnings, detail its acquisition of After Hours and discuss the impact on 2007 guidance.

Wednesday May 23

• Target Corporation (NYSE: TGT) to report Q1 earnings; conference call at 9:30am.
• Abercrombie & Fitch Co (NYSE: ANF) to report Q1 earnings; conference call at 4:30pm.

Thursday May 24

• McDonald's Corporation (NYSE: MCD) to hold shareholder meeting at 10am.
• Gap Inc (NYSE: GPS) to report Q1 earnings; conference call at 5pm.

Friday May 25

• Lowe's to hold annual shareholder meeting at 10am. Note that Lowe's reports on Monday 5/21.
• Agilysys Inc (NASDAQ: AGYS) to report Q4 earnings; conference call at 11am.