Dip in Martha Stewart Living Omnimedia Shares

Forbes is reporting that shares of Martha Stewart Living Omnimedia stock are off more than 20% for the year to date so far, and 13% since late last month.

Bear Stearns analyst, Michael Meltz, mentioned the recent price weakness yesterday in a note to clients. "While valuation is still not cheap, the pullback makes the shares somewhat more attractive given the company's growth profile," Meltz wrote.

He went on to tell his clients that he thinks the shares could see an upswing with the recent redesign of Martha's web site, and new deals and products in the pipeline. He noted that a lot of MSLO's new merchandising alliances start to appear in the Spring and Summer months (i.e., crafts at Michaels stores, paint at Lowe's, new home products at Macy's, etc.), and added, "We think the future looks bright for Martha Stewart, and view the company as one of the few real growth stories within the broader media space."

He updated his rating on the company to "peer perform" from "underperform."

In trading yesterday, traders seem to respond slightly, by sending shares of MSLO up 4.4% to $17.63. If you have been thinking about putting some of your money on Martha, now just might be the time.