this company has cleaned up alot of its problems
and has great brand loyalty. who would have thought
apple could climb from $15/share to over $100 4
quarters later. for those looking to get in on
quicksilver, now is an excellent time.. i would expect us to
hit $30_ by summer
La Jolla: I must visit the Boardriders NYC (SoHo)
store about once every other month. Its terrible...save
and except the manager. She's outstanding, but the
staff is terrible. The staff is, however, very
knowledgeable about ZQK, and the incompetence in the company.
Chat with them for a while...ask them how incompetent
the restaurant guy really is. No one likes him, much
less, respect him. They consider him a joke...one of
McKnight's buddies who needed a job.
The "look" of
the store is also really "cheap". Not to mention how
messy the store is. Trying to look like "GAP", but a
poor imitation. Nothing authentic, or real surf. Have
you noticed how high priced everything is? The Quik
Jean/Roxy Jean Program was a total flop.
line is no one is paying attention to what's going
on....and it's reflected in the price of the stock. ZQK
needs to fire the incompetent people working there,
hire competent staff who know "retailing" and not
failed "restaurants", and get back to the core.
I was in the NYC store today and as much as I
hate to say it, the sales staff is pretty incompetent.
Some chick chitchatting on the phone while people were
waiting to be helped, a clueless guy at the cash
register, four other employees hanging out together
shooting the breeze. The bottom line is that you're not
going to get GAP-like service from a bunch of dudes;
that's the unfortunate side to the core lifestyle lived
by the employees. They just don't give a rip about
moving products. Again, I've been a big fan of this
company and spent $100 there today, but the service was
so bad that I won't be back any time real soon.
After Roxy disappointed last quarter, they're putting
their hopes in the Silver line, but there's stiff
competition in the button down shirt market. Most people are
probably going to Banana Republic instead of Quik, unless
they're real surfers, of course.
Darren Barker of Wedbush Morgan has been
following ZQK for a long time. He has the opportunity to
meet and speak with the insiders of ZQK, and then put
his reputation on the line. Not that I put much
empahsis on any analyst, but in this case, you must
consider the fact that even the most optomistic analyst
around is not discouraged. Here's what he
Wedbush Morgan Securities issued a Company Report on
December 16, 1999 for Quiksilver, Inc.
16, 1999 Wedbush Morgan Securities analyst Darren
Barker issued a 4 page Company Report on Quiksilver,
Inc. Report highlights: 'The 2000 EPS estimate was
lowered to $1.35 from $1.39 to reflect an anticipated
decrease in pre-bookings for the company's crucial
spring/summer season. The rating was downgraded to ATTRACTIVE
from Buy to reflect slowing growth. The 12-month price
target was lowered to $20 from $28 per share. The
company is expected to generate earnings growth of 20%
over the next three years.'
A 12 MONTH TARGET
OF ONLY $20. That's where ZQK was one year ago!!!
What this means is that for 2 years, ZQK will just
remain a loser for those who bought this stock. THIS IS
A WARNING...A RED FLAG...A CLEAR INDICATION TO
Why...because pre-bookings are down (remember, ZQK pre-shipped
merchandise last quarter which only magnifies this problem),
and SLOWER GROWTH. The overall economy is booming,
and ZQK is stuck in QUIK sand.
Eddie, my long lost friend. By holding on to this
stock, you lost over $500K, in JUST 30 DAYS...not to
mention what you could have made with the money...With
the way the market ran at the end of the year, my
guess is that you lost about $1M, or close to it by
staying with this loser.
Now that "the market" is starting to invest in
companies with REAL VALUE ie. earnings...ZQK might finally
get the valuation it deserves....unlike some of these
tech flyers trading at 327xSALES.....
line is fantastic.
Excellent point Jack. ZQK now trades at .63 times
estimated fy 2000 sales of $500mm. total mkt. cap=
$316mm,fy 2000 sales= $500mm. With a $1.30 in earnings!!!
20 to 25% eps growth!!! Dont fret, the market will
figure it out soon.$20.00 by March guaranteed. You heard
it here Jack.