Coldwater Crash... I mean Creek... absolutely deserves this. I do feel sorry for all the buyers at higher prices whom are carrying the regret, but this stock should not be trading in the $3+ level anytime soon. It's management's decisions have caused same-store-sales to be sub-par for too long now.
A $220 million market cap ($2.50 price level) is the new reality until they turn things around in the coming months... or longer.
There's that bankruptcy I was predicting. I knew it was going to happen!... It took long enough. That's because the company kept issuing secondary offerings to bring in knew suckers. However, in the end it was inevitable. Those ugly old-lady clothes all labeled "Made in Bangladesh" would do them in sooner or later.
Yes, it is a little money to pay the bills, but there is no catalyst to turn the business around. Why pay so much at Coldwater Creek--even with the deep discounts--when Macy's, JCPenney, Ann Taylor, Chico's, Lord & Taylor's, Nordstrom's, and others have better quality at a better price?
Nobody should be surprised at today's bad news. We saw this coming over a year ago. Likewise, we all know how this story will end, just like a lame chick-flick. Long before it's over you know how it will end. The only question is how long it will drag on with evermore loans, and secondary offerings followed by reverse splits to keep the business alive while destroying shareholder equity.
This stuff has been in the making since Cramer top ticked this name 5 years ago...
At this price on the offering, however, it's sink or swim. What you don't want to see for the sake of this company, is this deal get pulled because of "market conditions".
My original post rings true again and again... Will the CRASH ever end?! How long do they plan on burning through cash until they turn this ship around?!
I just hope it doesn't fall into the one-dollar territory.
It looks like this stock is coming back down from $3.05 back into the low $2.80s because there is bad news coming out about how slow this turnaround is going. This quarter could be a sad one, too.
No, I agree the main casue of their problems is not the design people. I just thought it was an unusual thing to do. I can see a reduction in force, keeping the good ones. Although every company reacts differently.
I heard that from 2 other sources as well, so I guess so.
Well, that's a good move to shake things up and get some fresh blood in there. However, I don't think "the visuals" was the main cause of their problems, but we'll see.