In more bad news for the action mall fashion retailer PacSun’s stock reportedly crossed its 52-week low today as it dropped to $2.90 a share, according to a story on The Street. But that’s not all:
TheStreet Ratings rates Pacific Sunwear as a sell. The company’s weaknesses can be seen in multiple areas, such as its disappointing return on equity, poor profit margins, weak operating cash flow, generally disappointing historical performance in the stock itself and deteriorating net income.
Doesn’t exactly sound like a vote of confidence, does it?
[Link: The Street]
The industry needs Pac Sun. Man, I hope they can pull it together.
Pac Sun has improved in so many ways as a retailer since the new CEO took over.
Understand that if Pac Sun is not successful, the brands that push the industry are not going to be as successful.
Meaning, less volume from PAC could equate to less marketing from brands that are the core of the industry.
Come on PAC…..
I was waiting on you, Do we really need all the marketing that some of these brands do though. It seems to me that their marketing has become so broad that it isn’t even relevent to a Core store. It is mostly helping the nordstoms and McCullough’s, of the world. At least thats my perspective.
Screw PacSun!
This aint Detroit, this industry isnt too big to fail.
I hope they do go down, and take all the corpo blood sucking companies banking on them down with it.
PacSun’s customers are not the target demographic for the brands they sell.
These are the same companies that screwed over core retailers so they can do SMU biz in the mall.
maybe if PS goes away,and burns them, brands will think twice before hoping in bed with the next big trendy growht driver.
You lay down with dogs, you get up with fleas.
Enjoy the itch you fat bastards.
nice,
thats some good talking there
So check it, I have friends at Pac that are very core. They are good dudes that have families and they need their jobs. Would 1,000’s of people losing jobs and brands failing really make anyone happy? If so, I feel really bad for you and the hurt you have experienced in life. Come on, send some good vibes out these and let’s hope that this mess turn for the best.
nobody is happy about someone losing there jobs, but on the other side of the coin, how many specialty store have been negatively affected by chains like pac, and whatever else. We the core market stores have helped build the industry, and people like pac have feed off us. We have livelihoods to also be concerned about. Pac would not even think twice about stepping on someone to further their growth. Or furthermore would not think twice about kicking a brand to the curb.
I’m sure there are good people there, who live the lifestyle, but they choose to work for a big corporate animal.
Yeah Right…hard to argue with you.
I’m sure there are valid points to both sides.
All I know is that in the 80’s when no surf retail existed, there was PAC SUN.
PAC SUN was my gateway into the industry and I will always appreciate the ability to go see all the new stuff in 1 store.
Retail changes, and another giant dinosaur cant keep up. When I was a kid my local shop was called Blast, eventually they couldnt compete with Active.
There is nothing new at PS, only thie biggest brands in the industry, and SMU styles from 7 seasons back they still think work. They dont support core brands, they support huge or hype.
The internet is the new way for kids to get into shit. CCS catalog used to be a cool way to check out all the new shit, they fell off too.
Look at PS license w/ Modern Amusement, they are trying to go private label with a established name, so they can take all the mark up for themselves. they internaly are creating a competing brand with those they are supposedly supporting.
PS can sell all the surf crap they want, its a good outlet for those poor landlocked kids in the midwest. Let them compete with Hollister.
Skateboarding is not a mall sport. Zumiez included! Sure they may sell a lot of decks, but only by commision minded idiots who dont skate. if Zumiez went away tommorow you think anyone is not going to buy a skateboard somewhere else?
Pac Sun has one of the most relevant collections of clothing anywhere. They are not positioned as a skate shop. Pac is a California Lifestyle retailer, selling the California dream to the rest of the country.
Pac Sun will be fine and will continue to be the industry leader. Pac is 3 -4 times the size of Zumiez, and much better merchandised.
And….mall rents demand higher margins. That is why SMU and deals with Modern Amusement are important for the health of a mall retailer.
Face it, the industry needs to support PAC and help them become stronger.
WIthout PAC the door is open for someone else who may not be as responsible for stocking industry brands or even a fake surf – skate model.
The bottom line is all the hate about PAC is coming from people that care about themselves and a small group of what they think is core. At the end of the day…it’s all about making more money……
They bottom line is a small group who care about the industry,and got into the sport, not to get rich, but because we live the lifestyle. Most small store owners seem to care more about the brands they sell, then it seems the brands themselves care. For me at least, I for some reason seem to feel I have morals about what I carry, and what I will sell, and not every decision is a make more money bottom line decision. I know its crazy to think that way, but life is short. Anyways at the end of the day people make decisions, and I think pac only thinks about themselves, and I’m not sure how great stores like that really are even great for the industry.
ReadDeal your drinking way to much of the corpo koolaid.
“Pac Sun will be fine and will continue to be the industry leader. Pac is 3 -4 times the size of Zumiez, and much better merchandised. ”
That reads like its straight from a press release.
You may want to try sticking to shop eat surf if you want no biased opinions.
Underground is better than watered down.
I hope they can turn theyre sinking ship around, and start sinking it in a different direction.
Hopefully you cashed your paycheck and bought some of their cheap ass stock . put your money where your mouth is, at least if im wrong you may get rich.
Underground is better than watered down? HMMMMM……
Mr. Coffee Cigarettes come on, you are in your 30’s and you are still trying to be core?
My comments are legitimate and based on actuals. Your comments are based on some feelings of being a guy who has never been in the game. You watch from the sidelines and may get to go to an event every now and then because you know the guys at some washed up skate shop that is ran by dudes that have never actually been on a skateboard. FACT?
Now set down that glass of hateraid and sip on this…..Save your feelings for your next date and make sure to brush them teeth, because no ladies want to get busy with coffee and cigarettes my man. This advise is free and may be the best advise you have received in along time, as I can tell by your anger it’s been a minute since your ship has hit the water.
I don’t go by Real Deal for no reason…..
if pac sun goes under where will i be able to pick up all my monster/ken block outerwear?
Pac Sun wont go under…they are too big and they play a critical role in the industry. That being said, you can still buy your monster/ken block outerwear.
The party days may be over, but the show will go on. Pac Sun is a much needed part of the industry and it’s success.
Come on, we are talking about a big business, not local shop. Pac Sun has a group of very smart people behind the brand and they know what they are doing.
With pacsun going down there are far better companies pushing the same product Zumiez being one of them. The market for this style of clothing an lifestyle won’t go anywhere but if pacsun goes down so be it there customer service sucks and most of there “house” brands is bullhead on the bypass etc fall apart within a week this topic doesn’t surprise me
No surprise here either. To say that the industry NEEDS Pac Sun for its success is a pretty heavy statement IMO, meaning I disagree. I’m not too sure that PS is a huge playmaker in action sports. Yes, they are a California lifestyle retailer that sells some of the bigger in the industry brands, but their selection isn’t even the best. To say that the industry needs a company like Pac Sun so brands can thrive? I don’t know about that. Most of the brands carried by PS have already established themselves within the industry and have already gained the loyalty of their consumers. They are not going to fail if Pac Sun does. I don’t go to Pac Sun looking for the newest style or latest release from brands. Pac Sun is an outlet for the back-to-school kid/parent who wants something that looks good, not because it’s a core brand. At the end of the day, it’s still a mall shop.
Comments on this entry are closed.