As opposed to most furniture makers, Stanley Furniture (NASDAQ:STLY) has had a very poor year (stock is down 22% year to date). This is mostly attributable to the company's exposure to casegoods, its inability to gain profitability, and its high level of cash burn. But, the company does have a clean balance sheet ($25MM of cash and no debt on a $50MM market cap), a strategic plan to turnaround the business is near completion which will result in capex returning to normal levels, management has given us the revenue level necessary to reach profitability, and has also stated they will divest their children's business if necessary in order to reach profitability. I think investors should understand the story...
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