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U.S. Stocks Turn Negative As Focus Turns To Global Economy

 
Kate Gibson
MarketWatch Pulse
     

    NEW YORK -- U.S. stocks erased early gains to turn lower as cheer over global bank rescue plans gave way to worries about the economy. Up about 400 points at the start, the Dow Jones Industrial Average [: $indu] was more recently down 35.44 points at 9,352.17. The S&P 500 fell 4.59 points to 998.76, while the Nasdaq Composite shed 42.47 points to 1,801.78.

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    Same-Store Sales

    Most folks judge the health of a business by the revenue that comes in through sales. But not all revenue is equal. Companies can grow their sales by buying other companies, which means you don't get a clear view of how the real sales trends are moving.

    So, many analysts, particularly those who look at retail, try to gauge what¿s known as "organic" growth, by looking at same-store sales. These are sales only at outlets open more than a year, so the metric can exclude any sales jump that comes from opening new locations. Retailers release same-store sales (which are frequently called "comps" since they're a true comparison from the previous period) every month.

    Retail, incidentally, isn't the only industry to look at same-store sales. Hospital companies, also use the metric, to gauge how existing hospitals are performing compared to ones they just built or acquired.