Josh Arnold
Long/short equity

Lumber Liquidators' House Of Cards Came Crashing Down

Yesterday, following the close, Lumber Liquidators (NYSE:LL) updated its Q2 earnings forecast, and the results weren't pretty, to say the least. I'm not going to read the press release to you, as it's linked above, but some highlights (or lowlights) are: much lower sales, lower margins, higher SG&A and horrendous comparable sales compared to expectations. These are all absolutely awful numbers, as LL didn't just miss, it's not even in the same neighborhood as expectations were. Now, investors are left to pick up the pieces, after shares plummeted from a previous close of $76 to an after-hours price of $55.

I love the idea of Lumber Liquidators. The company offers a wide array of product in a...

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