< Return to Bears pageWhen was the Last Time you Shopped at RadioShack
Who shops their anymore? Everyone I know doesn't. First of all their stock was up about 50% in the last couple months and I knew it would take a breather which it has. They were up because they beat earnings in the Second Quarter of 08. I feel the reason for this is because people purchasing converter boxes for the switch from Analog Television to Digital Television and the remainder of the stimulus rebate checks being spent. The economy is getting worse and the last thing people will do is shop at RadioShack. Best Buy has recently missed earnings and Circuit City is struggling mightily!!! If Best Buy can't meet earnings how does RadioShack? The stimulus checks are spent, the converter box purchases are going to slow down, and the consumer is going to cut their spending drastically. The last place you want to be during a recession is a discretionary 3rd rate Electronics Store!! One more thing. They lost the competition to sell the I-phone to Best Buy which could of brought in some much needed traffic. Not to mention they are stuck with the worst wireless carrier in Sprint!! The CEO is doing a good job and deserves credit for the Earnings the company has received lately but there is only so much you can do with a Non-Growth outdated discretionary gadget store during one of the worst Financial Meltdowns In U.S History. RadioShack is not a buy.....It is a Sell Sell Sell!!!!!
