It has been a very challenging time for retailers in the United States. Many names have blamed a bad winter for their troubles. One name that has struggled recently is The Container Store (NYSE:TCS). After the bell on Tuesday, the company announced weaker than expected results. While shares declined in the after-hours, this stock could fall much further. Today, I'll detail why a short position may be warranted.
Fiscal Q1 results:
The company announced Q1 revenues of $173.44 million for the quarter, which missed analyst estimates for $174.21 million. The company's CEO provided the following statement in the opening paragraph of the above mentioned press release, one I believe is heavily troubling:
We thought our sluggish sales...
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