Breaking News From Canada - BewareNot trying to bash the stock as I am one of Timmy's best customers. However, something is very wrong when a persistent pattern continues and goes unchecked.
For the past month now, I have noticed that Timmy's is running out of various types of food at various locations throughout Ontario. Yes, I do travel a lot.
One location is always running out of my favorite bagel (12 grain) - add in the sometime we have chicken soup sometimes we don't - two weeks ago, sorry no chilly today. What do you mean no chilly, you guys are spending millions advertising chilly and you run out. Ok, so one location does not make a trend.
Part II - Traveling in central Ontario last weekend, stopped off at Timmy's in Orillia Saturday night around 8 PM. Hi, I'd like a Turkey bacon sandwich,? Sorry, we are out of bread. Ok, how about a 12 grain bagel, sorry we are out of 12 grains. How about any type of bagel. Sorry, we are out of all bagels. So what do you have? Limited selection of donuts. How about Chilly, little hard to eat in the car but what the heck. Sorry, we ran out of that at lunchtime today. Wow, had to settle for the last Boston cream on the shelf. Felt like a small victory. Was likely going to spend $6-$7 but instead spent $1.03 for a donut.
Sunday, North Toronto lunch time. Went into my regular Timmy's usually reliable. Order Chilly. Wow, you actually have Chilly. Great I will have one. Walking back to the table I notice it just doesn't have the same look. Well, I swear it was loaded with salt and as pasty as you can imagine. So pasty I could have molded it into a snowball and had a chilly ball fight. I took it back and asked them if they forgot to add some ingredients? No, of course not was the reply, it come to us in a bag and we just heat it up in the pot.
If you are long Timmy’s stock, I suggest you start eating there a little more often because something is very wrong with this great Canadian success story.
Add in the fact that at most Timmy's they are now actively trying to recruit staff suggests to me that we have some severe growing pains. They are definitely struggling with retaining and recruiting and most importantly, stocking the stores.
Don't get me wrong, I am not a shrill for the shorts but was long stock and just sold today. I would rather wait this one out until they can prove to me that they have their house in order.