" With any kind of luck the stock price will surpass $12 and head to $20 with regained momentum. Might be time to buy! ".
Elwood, I hope you're right, but..please excuse me for express my opinion honestly bout RAYS and please correct me if I'm wrong.
I do see the improvement in management team, reduce inventories, refresh products... but I doubt it can make it back to $12 level, not for long.. long time. There are several reasons for that. First of all, This year The peak season for shade business is almost over, they couldn't make it, especially with the help of MIB.
secondly, Shade and watch business is very competitive. They can be seen at everywhere: California Shade, Liberty House, Sears, Sport store.. either at Costco wholesale Dept. swapmeet, not only at HUT. Also lately I have noticed that those salemen come door to door they carry shades too. and so on.. you name it. Ofcourse the quality may be different but most people buy at convenient and cheap.
I think RAYS more likely head down to 6-7 range and stay there for a while until those big investors (the one can drive the price up) see more clearly RAYS profitability.
I wonder have RAYS management ever thinking about buying another shade firm, so they can make and sell their exclusive designs the clients can't find from anywhere else except at HUT? If this case, I think they have more control of their inventory, cut cost, wider profit margin.. like The Gap.
Regards;
Duke
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