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The Single Biggest Retail Opportunity of 2018

T.SHOP, T.BB, T.CLS, PSTG, VEEV

FN Media Group Presents Safehaven.com Market Commentary

PR Newswire

LONDON, September 19, 2018 /PRNewswire/ --

Apple recently became a $1 trillion company, truly a titan of the modern age. By far the most valuable publicly-traded company in the United States, Apple enjoys unrivaled supremacy with its 13-figure valuation. Mentioned in today's commentary includes: Shopify Inc (NYSE:SHOP), Blackberry Ltd (NYSE:BB), Celestica Inc. (NYSE:CLS), Pure Storage Inc (NYSE:PSTG), Veeva (NYSE:VEEV).

Some might think of Apple as a technology company, but it's also a major retail player. Their 272 U.S. Apple Store locations are the most valuable retail space on Earth. They earned $5,500 on average per square foot in 2017.

As Apple passes one of the greatest milestones in corporate history, it is also giving a tiny company a taste of its hugely profitable real estate segment. Cool Holdings (AWSM) - a $29.3 million company - has its hands on the opportunity of a lifetime.

Now there's a new type of Apple store coming to neighborhoods across America. It looks, smells, and feels like an Apple store. It's a unique real estate play, potentially worth $900 million per year. They even earn an "Apple-like" $3,750 per square foot.

The company already owns stores in South Florida and Latin America. Now they plan to roll out 200 boutique stores by 2020 - in what just might be one of the greatest real estate plays of the 21st century. And, most investors are barely paying attention.

Here Are 5 Reasons To Follow AWSM Now:  

  1. The Real Estate Play Of The Century   
  2. $3,750 Per Square Foot In Revenue   
  3. Apple's $900 Million "Gift"   
  4. Dozens Of Luxury Brand Partners   
  5. Apple Experience In Their C-Suite   

Reason #1: The Real Estate Play Of The Century  

This just might be the biggest opportunity in real estate since Peter Minuit bought the island of Manhattan for $24 worth of beads. And, it's happening in retail.

Cool Holdings (AWSM) - has the potential to turn every square foot of retail space into $3,750 per year. The company is planning 200 stores in the U.S. by 2020. With an average size of 1,200 square feet, that's a revenue stream worth $900 million. That is a staggering figure given that the company has a market capitalization of just $28.4 million today.

Now some might be thinking: isn't retail dead? It's true - big-box stores are struggling in an e-commerce world. Circuit City, Sports Authority and Radio Shack are already bankrupt. Even profitable retailers like Wal-Mart and Target only earn between $200 and $400 per square foot.

Even while "commodity retail" is dying the death of a thousand cuts - luxury brand retailers are experiencing an unexpected "golden age" of exploding revenues. Here is just a small sampling of a few companies posting lucrative margins on their real estate:

  • Kate Spade earns $1,580 per square foot.
  • LuluLemon Athletica earns $1,670 per square foot.
  • Michael Kors earns $1,870 per square foot.
  • Tiffany & CO earns as much as $3,043 per square foot.

Cool Holdings' (AWSM) One Click line of Apple co-branded stores earns $3,750 per square foot.

Reason #2: Earning $3,750 Of Revenue Per Square Foot, Second Only To Their Partner Apple  

Apple's products have dominated virtually every category they enter - iPhones, iPads, and Apple computers are ubiquitous worldwide. The same is true of their brick and mortar storefronts. The Apple Stores are an iconic tentpole of their brand.

Those stores are money-machines, and earn the highest revenues of any retailer on Earth - at more than $5,500 per square foot in 2017. But, Apple needs to concentrate on its core business. Cool Holdings (AWSM) has secured reseller licenses for most of Apple's world beating products - from the iPhone X to the iPad to Apple laptops and desktop computers.

These locations are similar to the Apple Store in many ways. And just like Apple, they have incredible earning potential - at a staggering $3,750 per square foot. For reference - the average retail rent was $241.08 per square foot across the 80 largest metropolitan regions in the United States in 2016, according to REIS.

Reason #3: This Could Be A $900 Million Real Estate Play In Phase 1 Alone  

Nobody comes close to replicating Apple's profits or its sales. Cool Holdings (AWSM) hopes to simply enjoy some of that same growth - aiming to become the world's largest reseller of Apple products and services.

To do that, they will pioneer a vertically integrated sales model, one that, for the first time, puts distribution, retail and marketing all under one roof. For Cool Holdings and their OneClick stores, it's all about "one world, one store, one click."

Most consumer technology retailers aren't vertically integrated. If a manufacturer sells a product wholesale for $30, the distributor will flip it on to retailers at $65 - slicing margins at the B2C level right to the bone.

Cool Holdings - on the other hand - owns its own distribution.

Marketing plays a key role in their strategy as well. The company has created a full-fledged in-house marketing agency divided into "Build" and "Run". Build takes care of organic growth and construction of new stores according to Apple standards and Run takes care of the marketing operation of the stores and the distributor.

Now, Cool Holdings (AWSM) plans to roll out 200 boutique stores by 2020. The stores will tap into undiscovered or underutilized markets all across the country. At $3,750 of revenue per square foot, and with an average size of 1,200 square feet - that's a projected revenue stream worth $900 million in Phase 1 alone.

Reason #4: Dozens Of Luxury Consumer Tech Brand Opportunities - Potentially Worth Millions  

While Apple products represent the core of Cool Holdings (AWSM) brand portfolio, the company is free to sell a range of high tech products.

As an Apple Retailer the company reaps all the benefits of having their stores tied to the biggest and most remarkable brand in the world. Yet it could also unlock lucrative distribution and retail opportunities with third party accessory brands affiliated with Apple products - potentially worth millions.

From Bose to Sonos, Moshi to Kanex, these are all brands that benefit from Apple's halo effect - with highly complementary product offerings. Bose is a case in point. The headphone and speaker company nearly cracked Forbes' Top 100 last year, earning $3.8 billion in revenue.

This wide range of potentially accessible brands may give Cool Holdings (AWSM) the chance to sell more than just Apple products, and realize even more revenue. And, the company already has deals with dozens of them.

Reason #5: Apple Experience Is Embedded In Their Executive DNA   

Cool Holdings (AWSM) is led by a team of executives with years of experience in both high end consumer technology and retail sales. Better yet, they've got experience with Apple and other major consumer electronic companies, which makes the relationship with Apple brands and products a no-brainer:

  • CMO Felipe Rezk worked as Head of Enterprise Sales at Apple.
  • CEO Mauricio Diaz has nearly twenty years in consumer electronics, first with Panasonic and Samsung, before branching off to form Cool Tech in 2014.

According to Diaz, Apple is expanding into North and South American markets, "and we are working with Apple to be an integral part of that expansion." With Apple's help, Diaz and the rest of the team at Cool Holdings plans to expand both organically and through acquisitions.

OneClick branded stores owned by Cool Holdings may be ubiquitous - potentially with vast revenue per location.

Why Investors Need To Pay Attention Today  

With their deal in place, Cool Holdings (AWSM) is earning an estimated $3,750 per square foot at their One Click store locations. They already have 15 in Latin America. The company has a unique vertically integrated business model. Unlike its competitors - who earn 2-3% EBITDA - they're expecting closer to 6-8%.

Now they're looking to capitalize on that edge, with a 200-store U.S. expansion. Those stores will average 1,200 square feet, for potentially $900 million in revenue. And, they're well capitalized to begin the rollout.

Right now, the stock is trading at a $28.4 million market cap. But if they execute as planned - targeting a $900 million opportunity - that valuation could change in the near future.

Other companies looking to take the tech world by storm:

Shopify Inc (NYSE:SHOP) is a Canadian e-commerce company. More than 500,000 companies rely on Shopify's real-time e-commerce, including Tesla, Budweiser and Red Bull, among many others.

Recently, Shopify reported its second-quarter financial reports, with an impressive year over year growth of 62 percent. It also outlined its three primary growth initiatives, one of the biggest being its transition of merchant data from its own platform to a cloud-based platform.

Blackberry Ltd (NYSE:BB) This well-known cell-phone pioneer is engaged in the sale of smartphones and enterprise software and services. The Company's products and services include Enterprise Solutions and Services, Devices, BlackBerry Technology Solutions and Messaging.

Blackberry used to be a worldwide leader in phones, but Apple, Google and other Android manufacturers have rapidly acquired market share. Blackberry has since focused on software and is now developing systems for enterprise. Tech giants such as Apple and Google won't be able to repeat Blackbery's success in this sector that easily.

Celestica Inc. (NYSE:CLS) is a manufacturer of electrical devices used in IT, telecommunications, healthcare, defense and aerospace industries. The company has seen strong growth YoY which we expect to continue as the sales expectations are almost 3% better than last year's.

In its second-quarter earnings report, Celestica reported a 9 percent year over year growth in revenue, attributing a lot of its momentum to the proliferation of its semiconductor business.

Pure Storage Inc (NYSE:PSTG) knows that data platforms are also a key asset in protecting companies against cyber-attacks. Pure Storage, Inc is a data platform focused on delivering fast, optimized and cloud-capable solutions for its customers while keeping data security as a top priority.

As the cybersecurity world becomes increasingly competitive, Pure Storage stands out because of its innovative and forward-thinking business model.

Veeva (NYSE:VEEV) Veeva is one of the most prominent cloud services providers out there, focusing specifically on the pharmaceutical sector. The company's cloud platform for the world's pharma companies is more popular than ever before.

In recent months, Veeva has seen a wave of adoption of its Veeva Vault applications by medical devices and diagnostics companies.

By. Charles Kennedy

IMPORTANT NOTICE AND DISCLAIMER

PAID ADVERTISEMENT. This communication is a paid advertisement. Safehaven.com, Advanced Media Solutions Ltd, and their owners, managers, employees, and assigns (collectively "the Publisher") is often paid by one or more of the profiled companies or a third party to disseminate these types of communications. In this case, the Publisher has been compensated by Cool Holdings, Inc. to conduct investor awareness advertising and marketing for Cool Holdings. Cool Holdings will pay the Publisher four hundred fifteen thousand US dollars over four months to produce and disseminate this article and certain banner ads. Cool Holdings may in the future pay the Publisher additional sums as compensation for other articles and marketing services. This compensation should be viewed as a major conflict with our ability to be unbiased.  

Readers should beware that third parties, profiled companies, and/or their affiliates may liquidate shares of the profiled companies at any time, including at or near the time you receive this communication, which has the potential to hurt share prices. Frequently companies profiled in our articles experience a large increase in volume and share price during the course of investor awareness marketing, which often ends as soon as the investor awareness marketing ceases. The investor awareness marketing may be as brief as one day, after which a large decrease in volume and share price may likely occur.

This communication is not, and should not be construed to be, an offer to sell or a solicitation of an offer to buy any security. Neither this communication nor the Publisher purport to provide a complete analysis of any company or its financial position. The Publisher is not, and does not purport to be, a broker-dealer or registered investment adviser. This communication is not, and should not be construed to be, personalized investment advice directed to or appropriate for any particular investor. Any investment should be made only after consulting a professional investment advisor and only after reviewing the financial statements and other pertinent corporate information about the company. Further, readers are advised to read and carefully consider the Risk Factors identified and discussed in the advertised company's SEC and/or other government filings. Investing in securities, particularly microcap securities, is speculative and carries a high degree of risk. Past performance does not guarantee future results. This communication is based on information generally available to the public and on an interview conducted with the company's CEO, and does not contain any material, non-public information. The information on which it is based is believed to be reliable. Nevertheless, the Publisher cannot guarantee the accuracy or completeness of the information.

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FORWARD LOOKING STATEMENTS. This publication contains forward-looking statements, including statements regarding expected continual growth of the featured companies and/or industry. The publisher notes that statements contained herein that look forward in time, which include everything other than historical information, involve risks and uncertainties that may affect the companies' actual results of operations. Factors that could cause actual results to differ include, but are not limited to, changing governmental laws and policies, the success of the companies' technology and/or partnerships with other companies, the size and growth of the market for the companies' products and services, the companies' ability to fund their capital requirements in the near term and long term, pricing pressures, etc.  

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INTELLECTUAL PROPERTY. Safehaven.com is the Publisher's trademark. All other trademarks used in this communication are the property of their respective trademark holders. The Publisher is not affiliated, connected, or associated with, and is not sponsored, approved, or originated by, the trademark holders unless otherwise stated. No claim is made by the Publisher to any rights in any third-party trademarks.

DISCLAIMER: Safehaven.com is Source of all content listed above. FN Media Group, LLC (FNM), is a third party publisher and news dissemination service provider, which disseminates electronic information through multiple online media channels. FNM is NOT affiliated in any manner with Safehaven.com or any company mentioned herein. The commentary, views and opinions expressed in this release by Safehaven.com are solely those of Safehaven.com and are not shared by and do not reflect in any manner the views or opinions of FNM. FNM is not liable for any investment decisions by its readers or subscribers. FNM and its affiliated companies are a news dissemination and financial marketing solutions provider and are NOT a registered broker/dealer/analyst/adviser, holds no investment licenses and may NOT sell, offer to sell or offer to buy any security. FNM was not compensated by any public company mentioned herein to disseminate this press release.

FNM HOLDS NO SHARES OF ANY COMPANY NAMED IN THIS RELEASE.

This release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. "Forward-looking statements" describe future expectations, plans, results, or strategies and are generally preceded by words such as "may", "future", "plan" or "planned", "will" or "should", "expected," "anticipates", "draft", "eventually" or "projected". You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that actual results may differ materially from those projected in the forward-looking statements as a result of various factors, and other risks identified in a company's annual report on Form 10-K or 10-KSB and other filings made by such company with the Securities and Exchange Commission. You should consider these factors in evaluating the forward-looking statements included herein, and not place undue reliance on such statements. The forward-looking statements in this release are made as of the date hereof and FNM undertakes no obligation to update such statements.

Contact Information:
Media Contact:
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e-mail: editor@financialnewsmedia.com    
+1(954)345-0611

SOURCE Safehaven.com



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