BGFV - Big 5 Sporting Goods Corporation
| Previous Close | 2.1300 |
| Open | 2.0600 |
| Bid | 2.0400 x 2900 |
| Ask | 2.0500 x 800 |
| Day's Range | 2.0300 - 2.0864 |
| 52 Week Range | 1.5700 - 5.4800 |
| Volume | 112,585 |
| Avg. Volume | 363,907 |
| Market Cap | 44.237M |
| Beta (3Y Monthly) | 1.40 |
| PE Ratio (TTM) | N/A |
| EPS (TTM) | -0.0200 |
| Earnings Date | Oct 28, 2019 - Nov 1, 2019 |
| Forward Dividend & Yield | 0.20 (9.17%) |
| Ex-Dividend Date | 2019-08-29 |
| 1y Target Est | 5.00 |
- InvestorPlace
6 Retail Stocks on the Verge of Bankruptcy
Another one bites the dust. In early September, discount retailer Fred's (NASDAQ:FRED) announced that it was filing for Chapter 11 bankruptcy protection and shuttering all of its stores. Fred's joins a long list of retailers that have declared bankruptcy over the past several years as technology has dramatically and irreversibly altered the retail landscape. That list includes once loved retailers like Barneys, Sears and Toys "R" Us, among many, many more.Over the next several years, this list will only get longer. Looking at the retail scene, while the broad outlook for physical and digital retailers remains positive, there are a handful of retailers out there that are only a few quarters away from shuttering their doors.These are retailers that were: 1) slow to adapt to the e-commerce shift, 2) have been losing share and relevance for the past few years, 3) are now operating with depleted resources and simply don't have the financial firepower to make the necessary changes and enhancements to their business to survive, and 4) are holding a huge pile of debt.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 Stocks to Sell in Market-Cursed September Ultimately, if a retailer checks off those four boxes, then that's probably a retail stock heading for the graveyard -- meaning it's a retail stock you want to sell.With that in mind, let's take a look at six retail stocks to sell on their way to bankruptcy. Retail Stocks to Sell: J.C. Penney (JCP)Source: Supannee_Hickman / Shutterstock.com First up, we have forgotten mall retail giant J.C. Penney (NYSE:JCP).At one point in time, J.C. Penney was at the heart of the American retail landscape, back when consumers did all of their shopping at malls. Times have changed since then. Namely, consumers have migrated to off-mall and online retail channels. J.C. Penney has been slow to adapt to those changes. They didn't build out an e-commerce business as quickly as they needed to. They didn't develop omni-channel capabilities as quickly as they needed to. And, they didn't update their stores or offerings in a way that they needed to.As such, the once all-important mall retail giant has become largely irrelevant with negative comps and falling margins. J.C. Penney will remain irrelevant for the foreseeable future because this company doesn't have enough cash (only $175 million in cash on the balance sheet) nor does the business produce enough cash (negative free cash flow year-to-date) to allow management to invest that much -- if anything -- back into the business.Further complicating things, there's over $5 billion in total debt sitting on the balance sheet. Thus, any cash this company does produce is going to have to go towards paying off debt.There isn't much to like about JCP here. You have a depressed and forgotten retailer with rapidly depleting resources and a bunch of debt -- that combination ultimately implies that bankruptcy is coming soon. Ascena Retail (ASNA)Source: Jer123 / Shutterstock.com Lesser known than J.C. Penney but in just as much financial trouble, women's apparel retailer Ascena Retail (NASDAQ:ASNA) could easily wind up bankrupt within the next few quarters.Ascena is the parent company behind women's apparel brands like Ann Taylor, LOFT, Lou & Grey, Lane Bryant, Catherines and Justice. Those brands simply aren't all that important in the modern women's apparel retail landscape. They aren't very differentiated and they have a ton of competition. As such, it should be no surprise that over the past several years, Ascena's comparable sales and margin trends have been sharply negative.The big problem here -- as is the case with J.C. Penney -- is that this company doesn't have the resources to improve its product portfolio. There is only $100 million in cash on the balance sheet against the backdrop of over $1.3 billion in long-term debt. Further, cash flow is negative year-to-date, comps are still negative and gross margins are still dropping. Thus, this company is not nor does it project to produce sizable cash any time soon. * 7 Stocks to Buy In a Flat Market An inability to produce cash plus over $1.3 billion in leverage equals looming bankruptcy. That's why ASNA stock has been so beaten up, and why it will remain depressed for the foreseeable future. Stage Stores (SSI)Source: WhisperToMe via Wikimedia CommonsAnother department store operator which finds itself on this list of retail stocks on the verge of bankruptcy is Stage Stores (NYSE:SSI).The story at Stage Stores is very similar to the stories at J.C. Penney and Ascena. Broadly speaking, you have a retailer that accumulated a lot of debt to fuel expansion during its growth years. But, e-commerce disruption ended SSI's growth years, and because the company has failed to adapt its operations in a meaningful way to the e-commerce disruption, sales and profit trends have been hugely negative for several years. Now, SSI is left with largely depleted resources (only $25 million in cash), a still big debt load (over $675 million) and very little visibility to produce enough cash to service the debt load.To be sure, comps here are positive -- a rarity on this list -- as Stage Stories is trying to survive by converting its full-price department stores into more popular off-price discount stores. This transition has potential. But, margins are still dropping, EBITDA is still falling and cash flows are still negative. Plus, off-price stores don't always work out, either -- just ask Fred's.Thus, this move may be too little, too late. Ultimately, it does appear that despite this smart off-price pivot, the ultimate outcome here is for Stage Stores to end up in the retail graveyard. Big 5 Sporting Goods (BGFV)Source: Jonathan Weiss / Shutterstock.com The sporting goods sector has had its fair share of bankruptcies over the past several years, and the industry may get another bankruptcy soon with Big 5 Sporting Goods (NASDAQ:BGFV).In the big picture, the sporting goods sector got too big to be sustainable. That is, now that Walmart (NYSE:WMT), Amazon (NASDAQ:AMZN) and Target (NYSE:TGT) all sell a ton of sporting goods equipment, the market doesn't need a dozen sporting goods department stores anymore. It only needs one or two -- meaning that this market is consolidating around a handful of larger players. Big Five simply isn't one of those players, and as such, it's tough to see there being enough room in the market for Big Five to stay around for much longer.The financials here aren't pretty, either. Big Five has a ton of debt -- about $350 million in debt and operating lease liabilities. Meanwhile, there's only $6.6 million in cash on the balance sheet. Cash flows haven't been consistently positive for about a decade, and the outlook remains dim for them to be consistently positive anytime soon. Comps are positive, but gross margins and profits are still dropping as discounting appears to be driving the positive comps. * The 8 Worst Stocks to Buy Before the Trade Turmoil Cools Off There's not much to like here. The sporting goods sector is consolidating, and that consolidation is squeezing out Big 5, who -- with only $6 million in cash left against nearly $350 million in debt -- seems to be on the verge of the bankruptcy. Pier 1 (PIR)Source: Jonathan Weiss / Shutterstock.com Next up, we have struggling furniture retailer Pier 1 (NYSE:PIR), who checks off all the boxes of a retail company on the verge of bankruptcy.Limited resources? Check. Pier 1 only has $30.5 million in cash on the balance sheet. Tons of debt? Check. Against that tiny $30.5 million cash balance, Pier 1 has $950 million in total debt on the balance sheet. Negative sales trends? Check. Comparable sales dropped 13.5% last quarter. Sales dropped 15.5%. Retreating margins? Check. Gross margins dropped over 700 basis points last quarter, and operating losses widened. Negative cash flows? Check. Cash flows have turned sharply negative this year, and there isn't much visibility for them to turn back into positive territory anytime soon, if ever.Zooming out, Pier 1 has struggled as e-furniture retailers like Wayfair (NYSE:W) have jumped onto the scene and stolen market share. The big problem? E-commerce penetration rates in furniture retail are around 13%, versus roughly 30% for apparel and consumer electronics. Thus, the e-commerce disruption problem for Pier 1 will only get bigger and bigger over time. As it does get bigger, things will only get worse. Sales will keep dropping, margins will keep retreating, losses will widen, and eventually, the company simply won't have enough financial firepower to service its near $1 billion in debt.PIR stock may not be around for much longer. Bed Bath & Beyond (BBBY)Source: Jonathan Weiss / Shutterstock.com The story at Bed Bath & Beyond (NASDAQ:BBBY) is very similar to the story at Pier 1.Big picture, both are struggling home goods and furniture retailers which are being squeezed out of the market. When it comes to Bed Bath & Beyond, there are two things at play here. One, the mainstream emergence of e-furniture retailer players like Wayfair has pulled customers away from BBBY stores. Two, the expansion of big box retailers like Amazon, Walmart and Target into the home goods and furniture game has eroded BBBY's differentiation in a very crowded retail marketplace.The result? Many consumers have left Bed Bath & Beyond stores, and unless the company runs huge discounts (which would kill margins and lead to huge losses), those churned customers don't have much reason to go back.That's why comps and sales trends have been, are and will remain negative. Same with margin and profit trends. It doesn't help that cash and cash flows are limited, and that the debt load is enormous.Overall, it seems like Bed Bath & Beyond is doomed for a similar fate as Pier 1.As of this writing, Luke Lango was long TGT and W. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks to Sell in Market-Cursed September * 7 of the Worst IPO Stocks in 2019 * 7 Best Stocks That Crushed It This Earnings Season The post 6 Retail Stocks on the Verge of Bankruptcy appeared first on InvestorPlace.
- Simply Wall St.
These 4 Measures Indicate That Big 5 Sporting Goods (NASDAQ:BGFV) Is Using Debt Extensively
Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...
- Thomson Reuters StreetEvents
Edited Transcript of BGFV earnings conference call or presentation 30-Jul-19 9:00pm GMT
Q2 2019 Big 5 Sporting Goods Corp Earnings Call
- GlobeNewswire
Big 5 Sporting Goods Corporation Appoints Colleen Birdnow Brown to Its Board of Directors
Big 5 Sporting Goods Corporation (BGFV) (the “Company”), a leading sporting goods retailer, is pleased to announce the appointment of Colleen Birdnow Brown to its board of directors, effective August 21, 2019. Steven G. Miller, the Company’s Chairman, President and Chief Executive Officer commented, “Colleen brings extensive executive and boardroom experience in strategic planning, operations, marketing, technology and corporate governance matters through a distinguished career of proven leadership that has included service as chair of a public company board, Chief Executive Officer of a public company and senior officer of multiple leading companies.
- GuruFocus.com
Firefly Value Partners, LP Buys Big 5 Sporting Goods Corp, Sells Hamilton Bancorp Inc
New York, NY, based Investment company Firefly Value Partners, LP (Current Portfolio) buys Big 5 Sporting Goods Corp, sells Hamilton Bancorp Inc during the 3-months ended 2019Q2, according to the most recent filings of the investment company, Firefly Value Partners, LP. Continue reading...
- Simply Wall St.
What Kind Of Investor Owns Most Of Big 5 Sporting Goods Corporation (NASDAQ:BGFV)?
If you want to know who really controls Big 5 Sporting Goods Corporation (NASDAQ:BGFV), then you'll have to look at...
- GlobeNewswire
Big 5 Sporting Goods Corporation Announces Fiscal 2019 Second Quarter Results
Achieves Third Consecutive Quarter of Positive Same Store SalesDeclares Quarterly Cash Dividend of $0.05 Per Share EL SEGUNDO, Calif., July 30, 2019 -- Big 5 Sporting Goods.
- GlobeNewswire
Big 5 Sporting Goods Corporation to Report Fiscal 2019 Second Quarter Results on July 30, 2019
EL SEGUNDO, Calif., July 23, 2019 -- Big 5 Sporting Goods Corporation (Nasdaq: BGFV) (the “Company”), a leading sporting goods retailer, will announce second quarter fiscal.
- Thomson Reuters StreetEvents
Edited Transcript of BGFV earnings conference call or presentation 30-Apr-19 9:00pm GMT
Q1 2019 Big 5 Sporting Goods Corp Earnings Call
- TheStreet.com
2 Sporting Goods Stocks to Consider
Tuesday was a pretty good day for a couple of sporting goods retailers, both of which have had some struggles in recent years to varying degrees. Big 5 Sporting Goods , which operates 433 stores, primarily in California, Washington, Arizona, Oregon, Colorado, New Mexico, Utah and Idaho, rose 22% on more than five times normal average volume on no news.
- Zacks
Big 5 Sporting (BGFV) Q1 Earnings Beat Estimates, Sales Miss
Big 5 Sporting's (BGFV) first-quarter 2019 earnings gain from sales and comps growth due to favorable weather trends. However, it issues soft view for the second quarter.
- Associated Press
Big 5: 1Q Earnings Snapshot
The El Segundo, California-based company said it had net income of 8 cents per share. Earnings, adjusted for pretax expenses, came to 10 cents per share. The sporting goods retailer posted revenue of $245.3 ...
- GlobeNewswire
Big 5 Sporting Goods Corporation Announces Fiscal 2019 First Quarter Results
Increased Same Store Sales 4.6% in Fiscal 2019 First QuarterReduced Borrowing Levels Year-Over-Year by 34% or $23.5 MillionDeclares Quarterly Cash Dividend of $0.05 per Share.
- Zacks
Big 5 Sporting (BGFV) to Post Q1 Earnings: What's in Store?
Big 5 Sporting's (BGFV) first-quarter 2019 results are likely to benefit from store-growth initiatives and technological advancements. However, soft hard good category remains a concern.
- GlobeNewswire
Big 5 Sporting Goods Corporation to Report Fiscal 2019 First Quarter Results on April 30, 2019
EL SEGUNDO, Calif., April 25, 2019 -- Big 5 Sporting Goods Corporation (Nasdaq: BGFV) (the “Company”), a leading sporting goods retailer, will announce first quarter fiscal.
- Zacks
Can Big 5 Sporting's Initiatives Aid Stock Amid Margin Woes?
Big 5 Sporting (BGFV) struggles with strained margins trend. However, the company's efforts to expand store base and introduce technological advancements are encouraging.
- Zacks
Why Is Big 5 (BGFV) Down 17.1% Since Last Earnings Report?
Big 5 (BGFV) reported earnings 30 days ago. What's next for the stock? We take a look at earnings estimates for some clues.
- TheStreet.com
Why Big 5 Is Not a Good Bet for Income-Seeking Investors
Over the last few weeks, we have witnessed renewed skepticism over retailers given the mixed results of the December and January retail sales reports and an increase in store closings. According to data published by Coresight Research, there have been 4,810 retail store closures so far in 2019.
- Simply Wall St.
Something To Consider Before Buying Big 5 Sporting Goods Corporation (NASDAQ:BGFV) For The 4.9% Dividend
Dividends play a key role in compounding returns over time and can form a large part of our portfolio return. Historically, Big 5 Sporting Goods Corporation (NASDAQ:BGFV) has paid dividendsRead More...
- Thomson Reuters StreetEvents
Edited Transcript of BGFV earnings conference call or presentation 26-Feb-19 10:00pm GMT
Q4 2018 Big 5 Sporting Goods Corp Earnings Call
- Zacks
Top Ranked Income Stocks to Buy for February 28th
Top Ranked Income Stocks to Buy for February 28th
- GuruFocus.com
Big 5 Sporting Goods Corp (BGFV) Files 10-K for the Fiscal Year Ended on December 31, 2018
Big 5 Sporting Goods Corp is a sporting goods retailer. Products include athletic shoes, apparel & accessories, outdoor & athletic equipment for team sports, fitness, camping, hunting, fishing, tennis, golf, winter & summer recreation & roller sports. The dividend yield of Big 5 Sporting Goods Corp stocks is 12.91%.
- Zacks
Big 5 Sporting (BGFV) Q4 Loss and Sales Match Estimates
Big 5 Sporting (BGFV) reports loss in fourth-quarter 2018. Moreover, it issues guidance for first-quarter 2019.
- TheStreet.com
After-Hours Earnings Beats for These 3 Small-Cap Names
saw a 12% post-market gain after reporting better than expected fourth quarter results. Revenue of $132.3 million was $7.1 million better than consensus estimates, and the loss of $0.37 per share was $0.15 ahead of expectations. Last but not least, the company reported that it is in the "final stages" of negotiating with Hong Kong Meisheng Cultural Company Limited and others for a deal that would give Meisheng 51% ownership of JAKK, which would include a $50 million cash infusion and involve a debt exchange.
