Core trends are soft in arts & craft, says Keith Rosenbloom, making the case to short Michaels (NASDAQ:MIK) at the Kase Learning Short-Selling Conference.
A key segment of the company's margin is framing, but the ability to have this done online has become a threat.
As for the balance sheet, it remains leveraged - a leftover legacy from private-equity ownership, plus share buybacks.
P-E players still own 42% of the company, and they've been regular sellers.
MIK closed the session up 2.7%.
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