As we head into Black Friday and the holiday shopping season, small cap apparel retail stocks Cache, Inc (NASDAQ: CACH), Stein Mart, Inc (NASDAQ: SMRT), Pacific Sunwear of California, Inc (NASDAQ: PSUN) and Destination XL Group Inc (NASDAQ: DXLG) have the distinction of being the best performing small cap apparel retail stocks for this year (according to Finviz.com) with gains of 111.6%, 92.7%, 88.7% and 65.7%, respectively. What are these high flying small caps doing right in the apparel retail space and will they continue delivering a stellar performance for Black Friday and the all important holiday season for�investors? Here is what new and existing investors and traders alike need to know or consider:
Cache, Inc.�A nationwide, mall-based specialty retailer of lifestyle sportswear and dresses targeting style-conscious women, Cache, Inc has approximately 250 centrally located stores in 41 states, Puerto Rico and the U.S. Virgin Islands�located in high-traffic, upscale malls. In mid-November, Cache, Inc� reported a 3.1% net sales increase to $47.2 million, a 6% comparable store sales increase, a 150 basis point gross profit margin expansion to 33.5% (primarily due to lower design, production and sourcing costs plus a decrease in markdowns and higher sales) and an adjusted net loss of $7.4 million verses an�adjusted net loss of $4.9 million. Cache, Inc�� Chairman expressed confidence in the upcoming�holiday season and that the company���overarching goal remains to maximize�their white space opportunity which has been defined as ��he events in a woman�� life.���n Tuesday, small cap Cache, Inc fell 2.66% to $5.12 (CACH has a 52 week trading range of $2.00 to $6.83 a share) for a market cap of $110.90 million plus the stock is up 111.6% since the start of the year and up 162.6% over the past five years.Top Specialty Retail Stocks To Watch Right Now: Firstin Wireless Technology Inc (FINW)
Firstin Wireless Technology, Inc., formerly Passionate Pet, Inc., incorporated on September 30, 2010, is a mobile service provider. The Company is a software-based mobile service provider that enables enterprises and business users to make affordable and business-quality international long distance and roaming calls over its hybrid mobile VoIP (HY-mVoIPTM) technology. Its service does not replace a user�� existing wireless service, it augments it with global communication capabilities. The Company's application is free to download, and is available on Apple iPhone, Blackberry and Android smartphones.
The Company provides international long distance and roaming services to enterprises and business travelers over smartphones. Business users need to download the Firstin application onto their smartphones to allow them to place and receive international long distance and roaming calls from anywhere in the world for a fixed monthly fee and unlimited usage. The Company intends to revolutionize business mobile communications by spearheading the enterprise mobile VoIP revolution allowing for anywhere, anytime, business-quality and low-cost voice and data communications over smartphones.
Advisors' Opinion:- [By Peter Graham]
A look at SofTech, Inc�� financials reveals revenues of $1,375k (most recent reported quarter), $1,558k, $1,458k and $1,772k for the past four quarters along with net losses of $266k (most recent reported quarter), $51k and $14k and net income of $252k. At the end of August, SofTech, Inc had $828k in cash to cover $2,717k in current liabilities and $5,445k in total liabilities. Given the recent Asset Purchase Agreement and the deal with lenders, it would be good to wait for some more financials to see how SofTech, Inc�� balance sheet has improved.
Firstin Wireless Technology Inc (OTCMKTS: FINW) Has Been Quiet Since FebruarySmall cap Firstin Wireless Technology is a mobile communications company that is leading the shift to the enterprise mobile VoIP revolution through its mobile telephony platform and apps, including a flagship Firstin solution that allows for anywhere, anytime mobile communications at significant cost reductions. On Friday, Firstin Wireless Technology closed at $0.255 for a market cap of $8.57 million plus FINW is down 3,087.5% over the past year and down 78.7% since August 2011 according to Google Finance.
Top Specialty Retail Stocks To Watch Right Now: WH Smith PLC (SMWH)
WH Smith PLC is a United Kingdom-based retail company. The Company has two businesses divisions: Travel and High Street. The Company's Travel division sells a range of newspapers, magazines, books and impulse products for people on the move and a broader convenience range in hospitals and workplaces. The Company's High Street sells a wide range of stationery, books, newspapers, magazines and impulse products, as well as a small range of entertainment products.The Company�� subsidiaries include WH Smith PLC, WH Smith Retail Holdings Limited, WH Smith High Street Holdings Limited, WH Smith Travel Holdings Limited, WH Smith High Street Limited, WH Smith Travel Limited and WH Smith Hospitals Holdings Limited. Advisors' Opinion:- [By Sofia Horta e Costa]
Hays Plc (HAS) climbed 2.2 percent after the recruitment company said quarterly fees increased in its European markets. WH Smith Plc (SMWH) jumped the most in six months after raising its final dividend and saying it plans to repurchase an additional 50 million pounds ($80 million) of shares. Melrose Industries Plc (MRO) added 1.8 percent after KKR & Co. said it will pay about $1 billion for two of its U.S. industrial-products companies.
Hot Heal Care Stocks To Watch For 2015: Puget Technologies Inc (PUGE)
PUGET TECHNOLOGIES, INC., incorporated on March 17, 2010, is a development-stage company. The Company is engaged in the distribution of luxury wool bedding sets produced in Germany. The Company�� product includes Lama Wool, Camel Wool, Cashmere Wool and Merino Wool.
The Company�� Lama Wool is consists of 50% Lama Wool hair, and 50% Merino wool hair. The Camel wool is consists of 50% Camel wool hair, and 50% Merino wool hair. The Cashmere wool is blended with Merino wool.
Advisors' Opinion:- [By Peter Graham]
Small cap stocks Inscor, Inc (OTCMKTS: IOGA), Puget Technologies Inc (OTCBB: PUGE) and PTA Holdings Inc (OTCMKTS: PTAH) have all been getting some attention lately in various investment newsletters or investor alerts. However, two of these small caps have been the subject of paid promotions while the third is getting attention largely because its in the growing marijuana or cannabis business. With that in mind, are these stocks really all that hot or not? Here is a quick reality check:
Top Specialty Retail Stocks To Watch Right Now: Vitacost.com Inc (VITC)
Vitacost.com, Inc. (Vitacost), incorporated in May 20, 1994, is an online retailer of health and wellness products, including dietary supplements such as vitamins, minerals, herbs and other botanicals, amino acids and metabolites, as well as cosmetics, natural personal care products, pet products, sports nutrition and health foods. The Company sells these products directly to consumers primarily through its Website, www.vitacost.com. It offers its customers the selection of healthy living products. It offers its customers a selection of approximately 40,000 Stock Keeping Units (SKUs), from over 2,000 third-party brands, such as New Chapter, Nature�� Way, Twinlab, Source Naturals, Jarrow Formulas, Jason, Desert Essence, Atkins, Bob�� Red Mill, BSN, Optimum Nutrition, USP Labs and MuscleTech in addition to its own brands: Vitacost, Cosmeceutical Sciences Institute (CSI), Best of All, and Smart Basics. As of December 31, 2012, the Company had approximately 2.1 million customers.
The Company offers products in a range of potency levels and dosage forms, such as tablets, capsules, vegi-capsules, softgels, gelcaps, liquids and powders. It offers products that encompass four main categories: Vitamins, Minerals, Herbs and Supplements; Sports Nutrition; Beauty; and Natural and Organic Food.
Vitamins, Minerals, Herbs and Supplements (VMHS)
VMHS products are taken to maintain or improve health and address specific health conditions. In its dietary supplements category, the Company offers its offer its Vitacost branded products as well as third-party brands such as Nature�� Way, Twinlab, Jarrow, Carlson and Rainbow Light. Vitamin and mineral products include multi-vitamins, lettered vitamins, such as Vitamin A, C, D, E and B-complex, along with minerals such as calcium, magnesium, chromium and zinc.
Herbal products include whole herbs, standardized extracts, herb combination formulas and teas. Supplements include essential fatty acids, probiotics, anti-o! xidants, phytonutrients and condition-specific formulas.
Sports Nutrition
Sports nutrition products are used in conjunction with cardiovascular conditioning, weight training and sports activities. Major categories in sports nutrition include protein and weight gain powders, meal replacements, nutrition bars, sport drinks and pre and post-workout supplements. The Company offers bodybuilding and sports products from third parties, such as Optimum Nutrition, CytoSport and BSN as well as our Vitacost branded sports nutrition products.
Beauty
Natural care products consist of a variety of natural products for skin, body, hair and oral health. The Company offers hundreds of natural personal-care products from companies, such as JASON, and Kiss My Face, as well as its CSI-branded products. These products appeal to allergen-conscious and environmentally-conscious consumers seeking products that are made without harsh chemicals and additives.
Natural and Organic Food
Natural and organic food products consist of organic and specialty products such as organic peanut butter, gluten free foods and low mercury tuna and salmon. The Company offers third-party brands, such as Kashi, Eden Foods and Amy�� Organic, as well as its Best of All natural food products.
Under its Vitacost brand, the Company offers over 900 products including multivitamins, minerals, herbs, amino acids, anti-oxidants and others. Under its CSI brand, it markets and sells health and beauty products such as facial cleanser, facial and body moisturizing creams and lotions, and other beauty and skincare products. Under its Best of All brand, it markets and sells organic food products such as banana chips, trail mix, almonds, cashews and more. Under its Smart Basics brand, it markets and sells organic fruit juices and extracts and related dietary supplements. Under its Walker Diet brand, it markets and sells low carb powders used to assist in weight loss and ! managemen! t.
Advisors' Opinion:- [By Seth Jayson]
Calling all cash flows
When you are trying to buy the market's best stocks, it's worth checking up on your companies' free cash flow once a quarter or so, to see whether it bears any relationship to the net income in the headlines. That's what we do with this series. Today, we're checking in on Vitacost.com (Nasdaq: VITC ) , whose recent revenue and earnings are plotted below.
Top Specialty Retail Stocks To Watch Right Now: Barnes & Noble Inc (BKS)
Barnes & Noble, Inc. (Barnes & Noble), incorporated on November 19, 1986, is a bookseller. The Company is a content, commerce and technology company that provides customers access to books, magazines, newspapers and other content across its multi-channel distribution platform. As of April 27, 2013, it operated 1,361 bookstores in 50 states, 686 bookstores on college campuses, and operates one of the Web eCommerce sites, and develops digital content products and software. Barnes & Noble operates in three segments: B&N Retail, B&N College and NOOK. The Company�� principal business is the sale of trade books (generally hardcover and paperback consumer titles), mass market paperbacks (such as mystery, romance, science fiction and other popular fiction), children�� books, eBooks and other digital content, NOOK and related accessories, bargain books, magazines, gifts, cafe products and services, educational toys & games, music and movies direct to customers through its bookstores or on barnesandnoble.com.
Of the Company�� 1,361 bookstores, 675 operate primarily under the Barnes & Noble Booksellers trade name. Barnes & Noble College Booksellers, LLC (B&N College), a wholly owned subsidiary of Barnes & Noble, operates 686 college bookstores at colleges and universities across the United States. Barnes & Noble Retail (B&N Retail) operates the 675 retail bookstores. Retail also includes the Company�� eCommerce site and Sterling Publishing Co., Inc. (Sterling or Sterling Publishing), a leader in general trade book publishing.
B&N Retail
This segment includes 675 bookstores as of April 27, 2013, primarily under the Barnes & Noble Booksellers trade name. These stores generally offer a dedicated NOOK area, a comprehensive trade book title base, a cafe, and departments dedicated to Juvenile, Toys & Games, DVDs, Music, Gift, Magazine and Bargain products. The stores also offer a calendar of ongoing events, including author appearances and children�� activities. The B&! N Retail segment also includes the Company�� eCommerce website, barnesandnoble.com, and its publishing operation, Sterling Publishing. Barnes & Noble stores range in size from 3,000 to 60,000 square feet depending upon market size, with an overall average store size of 26,000 square feet. During the fiscal year ended April 27, 2013 (fiscal), the Company reduced the Barnes & Noble store base by 0.3 million square feet, bringing the total square footage to 17.7 million square feet. The Company�� B&N Retail segment purchases physical books on a regular basis from over 800 publishers and over 50 wholesalers or distributors. As of April 27, 2013, Barnes & Noble had stores in 162 of the total 210 Designated Market Area markets.
Sterling Publishing is a publisher of non-fiction trade titles. It is a range of non-fiction and illustrated books and kits across a range of imprints, in categories, such as health and wellness, music and culture, food and wine, crafts and photography, puzzles and games, history and current affairs, as well as a children�� books.
B&N College
B&N College sells new and used textbooks in campus bookstores and online. As of April 27, 2013, B&N College operated 686 stores nationwide. The Company�� customer base, which is mainly consisted of students and faculty, can purchase various items from their campus stores, including textbooks and course-related materials, emblematic apparel and gifts, trade books, computer products, NOOK products and related accessories, school and dorm supplies, convenience and cafe items.
As of April 27, 2013, B&N College operates 651 traditional college bookstores and 35 academic superstores, which are generally larger in size, offer cafes and provide a sense of community that engages the surrounding campus and local communities in college activities and culture. The traditional bookstores range in size from 500 to 48,000 square feet. The academic superstores range in size from 8,000 to 75,000 square feet. B&! N College! �� three customer constituencies are students, faculty members and campus administrators.
NOOK
This segment includes the Company�� digital business, which includes the Company�� eBookstore, digital newsstand and sales of NOOK devices and accessories to third party distribution partners, as well as to B&N Retail and B&N College. Barnes & Noble�� NOOK digital bookstore and Reading Apps provide customers the ability to purchase and read their digital content and access to their Lifetime Library on a range of digital platforms, including Windows 8 PCs and tablets, iPad, iPhone , Android smartphones and tablets, PC and Mac. Barnes & Noble has implemented features on its digital platform to ensure that customers can access their NOOK content from almost all of today�� most popular devices.
The Company competes with Target, Books-A-Million, Waldenbooks, Amazon.com, Apple, Wal-Mart and Costco.
Advisors' Opinion:- [By Jake L'Ecuyer]
Equities Trading DOWN
Shares of Barnes & Noble (NYSE: BKS) were down 13.52 percent to $19.12 after Liberty Media lowered its stake in the company. - [By Teresa Rivas]
Shares of Barnes & Noble (BKS) were falling before the close Thursday, on news that John Malone�� Liberty Media (LMCA) is selling most of its 17% stake in the bookseller.
Liberty Media reached an agreement with Barnes & Noble to sell 90% holdings, which will result in the loss of one of its two board seats. The shares are being purchased by institutional investors, with the sale expected to close next week.
As The Wall Street Journal reports, Liberty didn�� say how much it was selling the share for, but the move comes after Barnes & Noble has enjoyed a big rally, climbing 66% since February through yesterday�� close. A person close to the deal says that the price was higher than $250 million, which would give Liberty a good deal of profit, as it paid $204 million for the entire stake in 2011. It�� also been earning a fixed dividend on the preferred shares: The anonymous source pegs a return of more than20% on the investment.
Read Barron�� take on the stock from last month here.
Top Specialty Retail Stocks To Watch Right Now: FTD Companies Inc (FTD)
FTD Companies, Inc. (FTD), incorporated on April 25, 2008, is a floral and gifting company. The Company provides floral, gift and related products and services to consumers and retail florists, as well as to other retail locations offering floral and gift products primarily in the United States, Canada, the United Kingdom, and the Republic of Ireland. The Company operates in one segment, which includes floral and related products and services. Its business uses the FTD and Interflora brands, both supported by the Mercury Man logo. The Company�� portfolio of brands also includes Flying Flowers, Flowers Direct, and Drake Algar in the United Kingdom. On November 1, 2013, United Online, Inc. (United Online) completed the separation of United Online into two independent, publicly traded companies: FTD Companies, Inc. and United Online, Inc.
The Company�� products revenues are derived primarily from selling floral, gift and related products to consumers and the related shipping and service fees. Products revenues also include revenues generated from sales of hard goods, software and hardware systems, cut flowers, packaging and promotional products, and a range of other floral-related supplies to floral network members. Its services revenues related to orders sent through the floral network are variable based on either the number of orders or on the value of orders and are recognized in the period in which the orders.
Advisors' Opinion:- [By John Udovich]
As we head towards Black Friday, small cap specialty retail stocks United Online, Inc (NASDAQ: UNTD), TravelCenters of America LLC (NYSE: TA) and MarineMax, Inc (NYSE: HZO) have the distinction of being the best performing small cap�specialty retail stocks for this year (according to Finviz.com) with gains of 181.2%, 123.8% and 71.8%, respectively. With those returns in mind, what are these small cap specialty retail stocks doing right and will the performance last through the all important holiday season? Here is what new and existing investors and traders alike need to know or consider:
United Online, Inc.�A provider of consumer products and services over the Internet, United Online�� Content & Media segment services are online nostalgia (Memory Lane) and online loyalty marketing (MyPoints) while its�primary Communications segment services are Internet access and email (NetZero and Juno). The reason United Online is among the�best performing specialty retail stocks for this year in various stock screening tools like Finviz.com�is actually misleading as the company has just completed the spin off�of subsidiary FTD Companies, a floral and gifts products company acquired in August 2008 for $441 million, as�FTD Companies Inc (NASDAQ: FTD) where United Online shareholders received one share of FTD common stock for every five shares of United Online common stock they hold. In addition, United Online completed�a�one-for-seven reverse stock split of United Online shares.�On Tuesday, small cap United Online, Inc fell 1.01% to $15.72 (UNTD has a 52 week trading range of $11.65 to $62.30 a share) for a market cap of $207.79 million plus the stock is up 181.2% since the start of the year and up 182.2% over the past five years. Meanwhile, the FTD Companies Inc�now has a�market cap of $611.60 and the stock is up almost 6% since October.
Top Specialty Retail Stocks To Watch Right Now: Ulta Salon Cosmetics and Fragrance Inc (ULTA)
Ulta Salon, Cosmetics & Fragrance, Inc. (Ulta), incorporated on January 9, 1990, is a beauty retailer, which provides one-stop shopping for prestige, mass and salon products and salon services in the United States. During the year ended January 28, 2012 (fiscal 2011), the Company opened 61 new stores. It operates full-service salons in all of its stores. Its Ulta store format includes an open and modern salon area with approximately eight to 10 stations. The entire salon area is approximately 950 square feet with a concierge desk, skin treatment room, semi-private shampoo and hair color processing areas. Each salon is a full-service salon offering hair cuts, hair coloring and permanent texture, with salons also providing facials and waxing.
The Company offers products in the categories, such as cosmetics, which includes products for the face, eyes, cheeks, lips and nails; haircare, which includes shampoos, conditioners, styling products, and hair accessories; salon styling tools, which includes hair dryers, curling irons and flat irons; skincare and bath and body, which includes products for the face, hands and body; fragrance for both men and women; private label, consisting of Ulta branded cosmetics, skincare, bath and body products and haircare, and other, including candles, home fragrance products and other miscellaneous health and beauty products. The Company has combined its three operating segments: retail stores, salon services and e-commerce, into one reportable segment.
The Company competes with Macy��, Nordstrom, Sephora, Bath & Body Works, CVS/pharmacy, Walgreens, Target, Wal-Mart, Regis Corp., Sally Beauty and JCPenney salons.
Advisors' Opinion:- [By John Kell and Lauren Pollock var popups = dojo.query(".socialByline .popC"); ]
Ulta Salon Cosmetics & Fragrance Inc.(ULTA) said its fiscal fourth-quarter earnings rose 9.5% on the beauty-products retailer’s better-than-expected sales growth. Shares climbed 7.6% to $96.35 premarket.
- [By Rich Bieglmeier]
[Related -Ulta Salon, Cosmetics & Fragrance, Inc. (ULTA): Bullish Options Play Eyes Further Upside in Ulta]
Ulta operates specialty retail stores in the United States. Its stores offer cosmetics, fragrance, haircare, and skincare products, as well as related accessories and services. As of February 1, 2014, the company operated 675 retail stores across 46 states. It also operates full services salons in its stores and distributes its products through operating ulta.com.
- [By Rick Munarriz]
Finally, we have Ulta Beauty (NASDAQ: ULTA ) looking pretty.�The chain of stores that sell beauty products and perform salon services proved that vanity still sells. Revenue popped 23% higher, fueled by brisk expansion and a healthy 6.7% uptick in comps. Profitability also grew by better than 20%, checking in at $0.65 a share.
Top Specialty Retail Stocks To Watch Right Now: Natural Grocers By Vitamin Cottage Inc (NGVC)
Natural Grocers by Vitamin Cottage, Inc., incorporated on April 9, 2012, is a specialty retailer of natural and organic groceries and dietary supplements. The Company operates within the natural products retail industry. The Company offers products and brands, including a selection of natural and organic food, dietary supplements, body care products, pet care products and books.
The Company offers its customers an average of approximately 18,000 store-keeping units (SKUs) of natural and organic products per store, including an average of approximately 7,000 SKU of dietary supplements. As of June 30, 2012, the Company operated 55 stores in 11 states, including Colorado, Idaho, Kansas, Missouri, Montana, Nebraska, New Mexico, Oklahoma, Texas, Utah and Wyoming, as well as a bulk food repackaging facility and distribution center in Colorado. The size of its stores varies from 5,000 selling square feet to 14,500 selling square feet, and a new store averages 9,500 selling square feet.
Advisors' Opinion:- [By David Mamos]
The Fresh Market Inc. (Nasdaq: TFM), Natural Grocers by Vitamin Cottage Inc. (NYSE: NGVC), and privately held Trader Joe's are others crowding into the field.
- [By John Udovich]
Small cap Natural Grocers by Vitamin Cottage (NYSE: NGVC) and mid cap Sprouts Farmers Market Inc (NASDAQ: SFM) are taking aim at natural and organic foods supermarket giant Whole Foods Market (NASDAQ: WFM), but do either of these stocks have what it takes to take on the the king of organic retailing? Whole Foods Market was founded in Austin way back in 1978 by a�twenty-five year old college dropout and a twenty-one year old�at a time when there were only a handful of natural or organic�supermarkets in the country. Today, Whole Foods Market�has 364 stores in the United States, Canada and the United Kingdom���which are sometimes referred to as ��hole Wallet��r ��hole Paycheck��given how much it costs to shop there.
- [By John Udovich]
Large cap natural and organic foods supermarket giant Whole Foods Market, Inc (NASDAQ: WFM), otherwise known as ��hole Wallet��r ��hole Paycheck,��is not the only player in the natural or organics supermarket space for consumers and investors alike as mid cap Sprouts Farmers Market Inc (NASDAQ: SFM) and small caps Fairway Group Holdings Corp (NASDAQ: FWM) and Natural Grocers by Vitamin Cottage Inc (NYSE: NGVC) are also players in the space. It should be mentioned that Whole Foods Market is down 15.7% since the start of the year and has a downward trending technical chart, but�shares are�still up 13% over the past year, up 426.3% over the past five years and up 3,108.6% since January 1992.
Top Specialty Retail Stocks To Watch Right Now: West Marine Inc (WMAR)
West Marine, Inc., incorporated in September 1993, is a specialty retailer of boating supplies and accessories. The Company offers an assortment of merchandise for the boat and for the boater. It operates in three segments: Stores, Port Supply and Direct-to-Customer. The Company sells to both retail and wholesale customers in its Stores segment. In addition, the Company has three franchised stores in Turkey. The Company�� Port Supply segment is its wholesale segment. The Company�� Direct-to-Customer, which includes e-commerce, catalog and call center transactions. During the year ended December 31, 2011, Stores segment generated approximately 90% of its net revenues. During 2011, products shipped to Port Supply customers directly from its warehouses represented approximately 4% of its net revenues.
During 2011, its Direct Sales segment offered customers around the world more than 75,000 products and accounted for the remaining 6% of its net revenues. Private label products, which the Company sells under the West Marine, Black Tip, Third Reef, Pure Oceans, Lifesling, SeaVolt and Seafit brand names, usually are manufactured in Asia, the United States and Europe.
Stores Segment
During 2011, the Company opened six stores while closing 14 stores. In December 2011, it opened its Fort Lauderdale Boating Superstore, a 50,000 square foot flagship. Its flagship stores ranging in size from 21,000 to 50,000 square feet, offering an array of merchandise typically about 16,000 items, as well as displays designed to help customers make informed product selections. It also operates large format stores, standard-sized stores and smaller Express stores. Its large format stores range from 13,000 to 19,000 square feet and carry about 11,000 items. The standard-sized stores typically range from 6,000 to 12,000 square feet and carry over 6,000 items. Express stores typically range from 2,500 to 3,000 square feet and carry over 4,000 items, mainly hardware and other supplies needed! for day-to-day boat maintenance and repairs.
Port Supply Segment
Port Supply customers include businesses involved in boat sales, boat building, boat commissioning and repair, yacht chartering, marina operations and other boating-related activities. In addition, Port Supply sells to government and industrial customers who use its products for boating and non-boating purposes. Port Supply, the Company�� wholesale segment, serves wholesale customers seeking convenience and a larger assortment of products than those carried by typical distributors.
Direct-to-Customer Segment
The Company�� e-commerce Website provides its customers with access to a selection of approximately 75,000 products, product advisor tips and technical information, over 450 product videos and customer-submitted product reviews. This segment also provides customers with access to knowledgeable technical advisors who can assist its customers in understanding the various uses and applications of the products it sell. It operates a virtual call center from which its associates assist its customers by taking calls from their homes or from its support center in Watsonville, California. Its virtual call center supports sales generated through its e-commerce Website, catalogs and stores and provides customer service offerings.
Advisors' Opinion:- [By Interactive Buyside]
West Marine (Nasdaq: WMAR) is an undervalued retailer. The company is going through a change in focus from a bricks and mortar boat product retailer to a fully integrated retail and wholesale business through bricks and clicks, targeting the boating and water enthusiast customer. Recent results have been affected by a severe rainy and cool spring which hurt boat usage and delayed the start of the season. The company has accelerated cash investments to build larger more productive stores and expand its ecommerce abilities, consequently affecting free cash flow short term. The stock lacks sponsorship as there is only one research report written on the company by a small boutique firm. The stock trades at only book value despite the company being the leading industry player with a solid balance sheet and significant net cash position.
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