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Is Staples a Secret Growth Story?

Thursday, 26 Apr 2012 | 6:58 PM ET

Did you know the second biggest online retailer in the world is Staples ?

Keith Goddard, Capital Advisors calls Staples the little Amazon and he thinks it has as much potential as its larger rival.

But he says Staples is a much better value.

“This is a stock that trades at 10 times earnings, 10 times free cash flow and offers a dividend yield of 2.8%.”

“Compare that to Amazon which trades at 70 times earnings and 40 times cash flow and no dividend,” he says.

And he adds that with only 40% of Staple's sales coming from online there's a lot of room to grow.

Also, Staples is every bit as fast as Amazon. "Staples can reach 95% of the North American population within one day," says Goddard.

It’s compelling, adds Fast Money trader Guy Adami. It’s worth a look.

Update from SBUX Conference Call
In Starbucks' conference call, its CEO says the "seismic change" in consumer behavior is "here to stay," with CNBC's Jane Wells. Meanwhile CNBC's Jon Fortt has an update on Amazon earnings and Keith Goddard, Capital Advisors, discusses whether Staples is like a "little Amazon."

* You can find our conversation with Keith Goddard about 4 minutes into this video.



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Trader disclosure: On Apr 26, 2012, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s "Fast Money" were owned by the "Fast Money" traders; Jon Najarian is long DECK; Jon Najarian is long EXPE; Tim Seymour is long AAPL; Tim Seymour is long BAC; TIm Seymour is long CSCO; Brian Kelly is long SPY; Brian Kelly is long USG; Brian Kelly is long IWM; Guy Adami is long C; Guy Adami is long GS; Guy Adami is long INTC; Guy Adami is long AGU; Guy Adami is long MSFT; Guy Adami is long NUE; Guy Adami is long BTU; Keith McCullough is long GLD; Keith McCullough is long XLU

For Keith Goddard
Keith Goddard is long SPLS
Keith Goddard is long AMZN

For Peter Nesvold
Nothing to disclose

For Michael Pachter
Wedbush Securities makes a market in the securities of NFLX

CNBC.com with wires.

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