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For Newell Rubbermaid, it's a sealed deal

A choppy, indecisive market requires a defensive play or two as a safety net, and a defensive stock worthy of consideration is Newell Rubbermaid (NYSE: NWL).

Newell Rubbermaid doesn't strictly fit the definition of a defensive stock, but its signature product, combined with its overall diversity in the consumer product space, make the stock a worthy consideration.

Newell Rubbermaid's signature product is the food storage container. At first glance, one could argue that U.S. shoppers will buy fewer of these containers as the U.S. economy slows, as it is, strictly speaking, a discretionary purchase. Still, we know from previous belt-tightening periods Americans tend to cut back on dining out. Undoubtedly that means more home prepared meals, and leftovers, which need containers -- a positive trend for Rubbermaid.

Continue reading For Newell Rubbermaid, it's a sealed deal

Tupperware (TUP) really benefits from home cooking

Continuing with our defensive stock series: given the current choppy / consolidating markets (or perhaps worse), Tupperware (NYSE: TUP) doesn't strictly-fit the defensive stock definition, as it's in the consumer / discretionary segment. Still, given TUP's potential, it warrants a review by investors.

Tupperware's signature product is the food storage container that carries the company's patented seal. One could make the case that U.S. shoppers will buy fewer of these containers as the U.S. economy slows, as they are, strictly speaking, a discretionary purchase. Still, we know from previous belt-tightening periods Americans tend to cut back on dining out. Undoubtedly that means more home prepared meals, and leftovers, which need containers -- a positive trend for Tupperware.

Further, with sales in more than 100 countries, Tupperware is adequately-positioned to benefit from continued good-to-excellent GDP growth in emerging markets. The Reuters F2007/2008 revenue consensus estimates for TUP are $1.91 billion / $1.99 billion. Tupperware's shares fell $1.83 to $33.63 in Wednesday afternoon trading.

Continue reading Tupperware (TUP) really benefits from home cooking

Spanish talk-show host lends name to Kohl's for new line

A Spanish television talk-show host -- Cristina Saralegui -- has been installing herself as a home design guru on television, and has fashioned a piece of her image to that highly-lucrative market, since women control most of those dollars. And those dollars turn into high-margin purchases for retailers such as Kohl's (NYSE:KSS), which has just signed a deal to use Saralegui's name on a home goods line for itself.

Kohl's will be launching the Casa Cristina collection in December, starting with bedding and bath items that will be sold in many (but not all) stores and also at the Kohl's website. Kohl's reports that the line will include table linens by next spring, and will soon offer decorative pillows, rugs, and other items.

In a rather obvious statement, I think, Kohl's has said that the new line will be described in advertising as having Hispanic and Mediterranean influences. That's a popular design theme these days, and I applaud Kohl's for the foresight in making a move here.

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Last updated: November 11, 2009: 09:51 AM

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