cemagraphics Investment thesis On January 25, I revealed in my MP service that I’d taken a position in a Canadian women’s clothing retailer named Reitmans ( RET.A.CA ) ( OTCPK:RTMAF ) ( RET.CA ) ( OTCPK:RTMNF ). It’s been a wild ride as the market valuation of the company has almost doubled since then which made this my second-largest position by far. Something unusual has happened over the past weeks as the price difference between the two classes of shares of the company has grown to 24%. In my view, Reitmans is still undervalued and there is very little difference between the two classes of shares which is why I switched my position to Class A shares. Let’s review. Overview of the opportunity Reitmans is a family-owned clothing retailer with a 96-year-old history, and it currently has just over 400 stores in Canada under the Reitmans, Penningtons, and RW&Co brands. Looking at the financial performance for the past decade, Reitmans has been struggling to remain profitable and COVID-19 lockdowns forced the company to embark on a restructuring that resulted in the closure of the Thyme Maternity and Addition Elle banners, the shutdown of 140 stores as well as the […]
K&X Design and Investment Technology, LLC
Invest The Invisible Impact
K&X Design and Investment Technology, LLC
Invest The Invisible Impact
