Intangible Valuation
Value, contrarian, coat tail rider, idiosyncratic research

Citi Trends: Paying Full Price For A Possibly Successful Turnaround

Citi Trends, Inc. (NASDAQ:CTRN) is a retail apparel chain operating in 29 states. The company's 506 stores are located in "second and third use store locations that offer attractive rents" (10-K, p. 6). The company advertises through hip-hop radio stations and has the following product sales break down:

As one can see above, sales of women's clothing is falling from its historical prominence and sale of accessories is rising. This is due to changing customer preferences and the company is working to offset the decline in women's by shifting to more fashionable clothing.

The company broadly attempts to be a value priced, family friendly store selling urban style merchandise.

The company is currently priced in the...

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