Maybe this sounds totally nuts, but I'm serious about this spread. Short TBL, Long Vans. Maybe only short in TBL, will come to a decision till the end of the day. I like both, wear both of them, good old style fashion shoes. I was already short Vans about 2 years ago, which turned out to be profitable.
So I just bought some Vans, although it's not a high volume stocks, execution was OK. Cash per share about $3, book value about $11, current price $ 4.68. Fashion is In and OUT, the same is true for single stocks.
Yes, TBL looks strong at the moment thats why nobody likes to go short because of fear. And yes, nobody likes Vans because it is in a downtrend. But as mentioned fashion will change, sometimes stocks, too IMHO. Will fashion never change? Fashion stocks are that cyclical that one concept is good IMHO. Buy low, sell high. Short high, cover lower. Buy high, sell higher is not that good with fashion.
"fashion" stocks are a hard stock to trade b/c theyre not really cyclical they follow youth... (the most fickle group to selll to, due to "fashion" TBL, is more than just fashion they have a function as well...
Tims had an extraordinary winter due to the bad weather in part. Not likely to happen again soon, plus those boots last a long time. The fashion angle can change rapidly but they do have quite a franchise and it has shown staying power. Interesting idea.
Hi AAA, would like to hear your opinion to JCOM. This stock is on my list, just off the 52week high. Would you buy the dips?
Update: spread show nice profits. TBL: down Vans: up So I take my profits and buy a pair of tims and a pair of new vans, the rest remains in the account.