FRAN

Francesca's Holdings Corp

Consumer


Presented:10/30/2018
Price:$36.60
Cap:$0.11B
Current Price:$0.12
Cap:$0.01B

Presented

Date10/30/2018
Price$36.60
Market Cap$0.11B
Ent Value$0.25B
P/E Ratio305x
Book Value$37.00
Div Yield0%
Shares O/S3.02M
Ave Daily Vol101,162
Short IntN/A

Current

Price$0.12
Market Cap$0.01B
Francesca's Holdings Corp. engages in shopping business through its subsidiaries. It operates through boutiques and ecommerce website. Its products include apparel, jewelry, accessories, and gifts. The company was founded in 1999 and is headquartered in Houston, TX.

Please note, this stock split on 7/2/2019 at a ratio of 1/12. The presented data has been updated to account for the change, however, the text of the note may refer to data based on the original presented price of $3.05.

Publicly traded companies mentioned herein: Abercrombie & Fitch Co (ANF), Francesca’s Holdings Corp (FRAN), Urban Outfitters Inc (URBN)

Highlights

The presenter is long shares of Francesca’s (FRAN), and feels any positive or stabilizing results from its turnaround strategy should cause a massive upswing for the beaten down stock. The company has experienced declining comps and margins for a prolonged period as a result of poor merchandising decisions. It is not surprising that management turnover has been high; however, he feels the company has had time to address these issues and views its current price of ~$3, or 2.5x EBITDA, as an attractive entry point. As FRAN starts to show business improvements, he sees an easy path for the company’s valuation to double or even triple.

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Idea Discussion

Commentor 1 - 2 weeks ago

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