Have been watching this stock for awhile but have not as yet purchased. Would any long term holder of this stock offer a suggestion on a good buy-in price and long term outlook? I have been doing some dd but would like others opinions as well. Thanks in advance.
Longs better hope UGGS regains its mojo because this will get very ugly with reduced demand and lower average selling prices. Double whammy turns into double penetration for longs.
The Alexa website (a company that tracks web traffic), shows that traffic for UGG is way above last year's. Whereas UGG web traffic always falls steadily after its peak just before Christmas until it hits its summer low, this year it has climbed during the month of February and has still not begun to decline. Obviously this is a result of the cold weather. And it bodes well for earnings this quarter and for restocking orders in the fall.
Longs, the only people buying this stock here is the company to allow insiders and institutions liquidity, all be it paltry, to get out. Do yourself a favor and don't ride this into another holiday. UGGS are not going away but they will have to keep dropping the price to attract buyers, the 'In Crowd" aren't going to shake their parents down to pay $200 on these warm and comfortable yet goofy boots.
cramer did it before with this stock -- about 3 years ago. plugged it incessantly on his show when it was around $125 i believe, then sat silent as a slug for a few months when it lost 30% as if he'd never mentioned it before in his life, then when it lost another 10% or so he said it was no longer a buy..... you can't make this stuff up.
They need to keep that cash to effectively buyback all the insider stock options that they have been cashing in for years. And when the music stop which I believe is now, the shareholders are left with nothing but paper or in this day and age electronic entries on their brokerage statement. How do you think those $70 and $80 stock purchases are going to feel when UGGS sales decline 30%??? It's a textbook crash and burn. Cramer wears a Formula One fire proof suit as he's been involved in so many crashes that he will crawl out of this one unscathed when it breaks $60.