TSXV:RYU.H - Post by User
Post by
B2Investon Sep 26, 2016 2:14pm
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Post# 25278858
Just because RYU is cheap it doesn't mean it's a good buy!
Just because RYU is cheap it doesn't mean it's a good buy!Hi everyone,
I just don't understand why anyone would want to buy a losing busines in such difficult environment.
-Big loser: The company has been losing money for over a year
-Slow foot traffic: Visited RYU store on west 4th a few times,and it's always been very slow
-Online store: still not having any market share
-Products are too expensive: This is where quality and design are average, however, you have to pay too much for what you're getting. Why would anyone want to buy RYU where they can get Nike, UA, Lulu at lowe prices
-Products don't really have a visible logo/name
-Opening second storeon Thurlow and Robson.Not a good exposure, very expensive rent
-Management has not shown a good guideline and roadplan for RYU's succuess
-This is a very competive market, and timing is the key
-Too much money spent on advertising
-No real sales growth
-Management does not sufficient experience and expertise. They previously owned Leone which is a boutique in downtown Vancouver, however, the business model between these two are completely different.
-Considering so much time and money spent on sponsoring athletes, teams,no real sponsorship has been made
-Company's vision is unclear
my list goes on...
I would suspcect share prices would continue to drop down, unless there is a major shift in the company. I think the organizaiton needs a management team that has a good understanding of market and implementing changes to gain market share.