The Children's Place Is A 'Buy' As Headwinds Turn To Tailwinds

Geoffrey Seiler
4.44K Followers

Summary

  • The Children's Place, Inc. has multiple drivers including a partnership with Amazon and improved marketing.
  • Lower cotton, freight, and occupancy costs should drive earnings results in the 2H and into next year.
  • The stock looks inexpensive and does not take into account its ongoing turnaround.

Dressing closet with baby clothes arranged on hangers.

iulianvalentin/iStock via Getty Images

The Children's Place, Inc. (NASDAQ:PLCE) looks like an intriguing retail turnaround story, as cotton and freight headwinds turn to tailwinds and the company moves to a more digital retailer.

Company Profile

PLCE is a children's

This article was written by

4.44K Followers
Former Senior Equity Analyst at $600M long-short hedge fund Raging Capital.

Analyst’s Disclosure:I/we have a beneficial long position in the shares of PLCE either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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