Feb 27 Furniture Today article likely reason for pull-back here...
""We are very optimistic but we think our growth will be a little moderated." Glenn Prillaman, president and CEO of Stanley Furniture, said the company's Young America brand grew in the single digits in 2013, representing about 40% of the company's overall sales of around $97 million.
"I do expect growth in the coming year, but it is very difficult to predict top line revenues in this environment," he said.
Over the past few years, the company has invested in equipment and technology, including up fits to its Robbinsville, N.C., plant, where the Young America youth bedroom line is made. Along with manufacturing a line available in multiple color options, officials say controlling their production allows them to ensure the product meets safety standards. The line is also Greenguard certified, meaning it uses raw materials with low chemical emissions.
The company also has partnered with retailers to offer consumers online information about finishes, product specifications and availability. It posts its retail prices on the site, but gives consumers a chance to save by buying the product at their local retailer.
Prillaman believes these will be among the company's primary drivers of success in the year ahead.
"The biggest tailwind is the fact that we don't have to make any changes in our business, and we are very focused on making ourselves easy to do business with," Prillaman said. "We have a great product with great value, and a good website and we are protecting the brick and mortar retailer by not allowing the Internet to be just a price shopping tool."
The main challenge, he said, is to improve the partnership between Young America and its retailers so that together they can be focused on "attracting and retaining the customer that wants to trade up" to the brand, which offers dressers retailing around $849 and twin beds around $749."
Micro, I put a toe in the water here. I was reviewing the stocks picked for KTCC's stock contest yesterday and saw that you had this one. It is SO beaten down, I really couldn't resist and in fact was the only issue in the whole list that appealed to me at today's prices. At worst, I'll be able to polish some Stanley furniture with my Scot's Liquid Gold! LOL! My cursory guess is there could be a decent bounce if they benefit from the restructuring. Overall, it would be tough to find a less popular sector, which is the way I usually like it. I was an antiques dealer once, and I know from friends in the business that furniture prices (with the exception of 50's Mid Modern) have collapsed. One can buy great early American pieces for a fraction of what they cost five or ten years ago. I'm not too keen on Stanley's aesthetic sense, but I'm willing to bet that the stock is way oversold and will see a turnaround. Go, SLGD and STLY !!