Electronics: Plasma or coal?

Will there be a 52 «flat panel TV waiting under the Christmas tree? Investors seem to think so given the valuations they’ve attached to electronics retailers. Best Buy trades at 19 times estimated 2007 fiscal year earnings and Circuit City at 24 times. The problem is a consumer slowdown appears to be underway. If so, discretionary spending on gadgets such as MP3 players and video game consoles will probably bear the brunt - along with the stock prices of their peddlers. October’s retail sales...