Darspal S Mann
Long/short equity, growth at reasonable price, special situations, deep value

As Wet Seal Picks Up The Right Retail Trend, Stock Offers A 90% Potential Upside.

Shakespeare wrote - "There is a tide in the affairs of men". There are cycles in technology investing and for the specialty retail sector there are circles. Fashion retailers come back to life among investors and customers, with their ability to pick right trends.

Wet Seal Inc. (Nasdaq: WTSL) is coming back in the "circle" of specialty retail performance and the stock will catch up soon. Business is showing results, with 4% Comparative store sales (Comps) growth, of efforts undertaken earlier. This improved performance takes credence in an environment, where peers like Abercrombie & Fitch Co. (NYSE: ANF) and Aeropostale Inc. (NYSE: ARO) have shown double-digit Comps decline.

With expectations of 5-7% Comps growth, 32% gross margins...

Join Seeking Alpha PRO to read this archived article and 11,574 other archived articles
IDEA GENERATORXExclusive access to 10 PRO ideas every day
INVESTING IDEAS LIBRARYXExclusive access to PRO library of more than 15,000 ideas
SECTOR EXPERT NETWORKXExclusive access to all sector experts for direct consultation
PERFORMANCE TRACKINGXTrack performance of all PRO stock ideas
PROFESSIONAL TOOLSXProfessional Idea Filters to zero-in based on industry, market cap and more
"In just the first month of using PRO, I used it to generate two ideas which were actionable for me. As a result of these two positions, I have earned more than 20 times the annual subscription costs for PRO."Michael Yagemann, Greenbridge Capital
"I am pleasantly surprised with the scope of small and mid-cap coverage PRO offers. You can't find that any where else."Patrick Rice, Mainstay Capital Management
You may cancel at any time for any reason, and receive a prompt refund for membership on months paid and not used (max. 6 months). Details