i am currently not buying, and I will not for the time being, although I will consider dropping in for ~50k shares below 0.20 for a possible short play. It may not get there tho, since it appears that a lot of others have the same idea...
nonetheless I appreciate the discussion here in this thread. It is one of the more informative discussions I have seen on any yahoo MB
a) management team
The new CEO has an excellent track record from her stints at huge apparel companies
The reported loss has little to do with the underlying cash flows as liquidity didn't really take such a big hit qoq.
You mention a "strong new management team". What exactly are you basing this statement on? The management team has not cut costs or increased sales.
Also, how do you calculate having a few quarters of liquidity? Last quarter they lost over $13M. They ending with $3M and $16M against the line. Just over 4 months cash at the rate they are going. That was as of 6 weeks ago.
I almost fully agree with your assessment but given the fact that they have still several quarters of liquidity available and that the company has strong backing form activist investors and a strong new management I am still willing to bet some money on next quarter's earnings release which just needs to show very little improvement to lift the stock big time. Sold 50k shares today for an almost 50% gain into the short lived run-up but still owning 450k shares for more to come.
Not sure if this will provide another bounce opportunity unless a Billionaire hops in this and with a Reverse Split coming it's probably not going to happen, but like usual will keep on the radar, if the "Chart" changes so will our trading strategy... Good Luck all...
Sentiment: Strong Sell
LMAO, Who is the "Idiot" now, you're a fool, before you call me out again do "dd" but better yet "LEARN" to trade.... I hate that it slid again that selling pressure was sure steady today, hahaha...
Sentiment: Strong Sell
They have struggle for years, Q2 was terrible no way anyone can find any good in it. Comp sales and margins were lower than LY Q2., Merchandise margins increased less than 2 tenths of a point. If they can make LY dismal figures at this stage it's not a good thing. The history here is always: next quarter will be better we see positive acceptance of our new offerings then comes the next reporting period and it's the same story again. Truth is if they focused on the core customer 12-16 year old suburban girl and cut costs they will be successful but everyone has their own image so far no one has been right but they made a lot of money being wrong. This company in it's endless turn around has flushed through cash with nothing to show for it. They sold CCS $100m blew through that, 2 stock offerings blew through that. Sales are less than $400/sqft not sure where the positive is.
As for cash they have very little SGA hasn't changed much while sales sink lower and lower with they will use all the credit and have no cash reserves.
I think it's too late for this puppy.
Sentiment: Strong Sell
these EPS values into our five-year outlook DCF model, we return a Net Present Value for DLIA of -$0.42. We then project DLIA's balance sheet out 5 years, although we expect little change here. We gather that Stockholders' Equity / Share should be around $0.56. Using the following formula: Technical Analysis (Short-term Outlook)
If we apply technicals to DLIA's stock, we can see that they are trading well below their 200-day EMA of 0.764 and have an RSI index of 24.46, below the widely accepted RSI 30 barrier. This implies DLIA is currently experiencing weakness and downward momentum. A simple perusal of the chart reveals that when DLIA has experienced similar weakness and downward momentum, the stock has rebounded in the range of $0.10 - $0.60. From a technical analysis viewpoint, DLIA offers a solid entry point for long investors looking to make short-term profit.
In the time since then, both stocks have jumped to prices well above their 200-day EMAs and their RSI indices have climbed to normal-to-high levels. Will the same happen to DLIA? An investor must approach these similarities and patterns with caution, but we see a great potential for short-term profit here.
After reviewing these results, we are not a buyer of DLIA currently; however, we do believe given our projections and the technical analysis indicators that there is potential for short-term profit to be made on the long side.
Sentiment: Strong Buy