Investing

Hudson's Bay Company (HBC-T)

  • Last Updated:
  • Jan 6th, 2020 9:48 am
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Member
Sep 7, 2011
245 posts
153 upvotes
Toronto
It is a good entry point now for about 1.9% yield
Newbie
User avatar
Jan 7, 2017
12 posts
3 upvotes
Kensington, South Lo…
WOW [allchooedup], terrific post and great insight. Thank you for sharing. :)
Known to many as the Welsh Investor, I am semi-retired living off my investment income and working casually as a financial analyst/consultant. I enjoy meeting new people and sharing investing insight, information, and advice.
Member
Mar 4, 2006
290 posts
40 upvotes
10% down, looking to get in around $9.
Deal Expert
Jun 26, 2011
15096 posts
5413 upvotes
GTA
nikels21 wrote: looking to jump in at 11.50
You got your wish!

Worst purchase I've made in a long time with this one as I'm down quite a bit now. I'll hold because the reason I bought it hasn't changed. Looks like I'm going to have to wait longer than I had anticipated.
Deal Addict
May 18, 2015
1803 posts
851 upvotes
Ottawa,Ont
RolandCouch wrote: You got your wish!

Worst purchase I've made in a long time with this one as I'm down quite a bit now. I'll hold because the reason I bought it hasn't changed. Looks like I'm going to have to wait longer than I had anticipated.
in for 200@10.65
Jr. Member
Nov 12, 2014
130 posts
110 upvotes
Levis, QC
RolandCouch wrote: You got your wish!

Worst purchase I've made in a long time with this one as I'm down quite a bit now. I'll hold because the reason I bought it hasn't changed. Looks like I'm going to have to wait longer than I had anticipated.
I'm in the same boat. Bought at 13.40ish ? in December. It seems I might wait a long time before seeing some value out of the real estate. I don't feel like trying to catch a falling knife again so I'm holding but not adding.
Newbie
Jul 7, 2013
14 posts
3 upvotes
Toronto
Hang tight. Their earnings are still pretty good.

I got in at 14.35 in Nov so I'm down 37% now which is quite a lot but I'm just going to wait it out at this point. No idea why its dropping so much, its not like they have negative earnings.
Deal Addict
Dec 3, 2014
2348 posts
1840 upvotes
Ontario
Here's an interesting exercise. Pull up a two year chart of Amazon. Now turn it upside down... boom, you now have the 2 year chart for HBC. You also have the only explanation you need for HBC's price action.
Newbie
Jul 7, 2013
14 posts
3 upvotes
Toronto
llpresident wrote: You also have the only explanation you need for HBC's price action.
Amazon isn't exactly known for selling premium clothing and accessories. When was the last time you bought a suit or a dress shirt that fit properly from Amazon?

I'm thinking its just a knee jerk reaction by the market. There aren't many big retailers left in Canada other than Walmart. Target is gone, Zellers gone, Sears gone, Reitmans is barely holding on after closing so many LOBs. Do people not buy clothing anymore?
Newbie
User avatar
Jan 7, 2017
12 posts
3 upvotes
Kensington, South Lo…
It certainly looked more attractive when you originally posted this. Lately it seems like its been all bad news for HBC. All I read is "downgraded," "tumbling," "all-time low." I am hoping for the best, but expecting the worst.
Known to many as the Welsh Investor, I am semi-retired living off my investment income and working casually as a financial analyst/consultant. I enjoy meeting new people and sharing investing insight, information, and advice.
Deal Addict
Dec 3, 2014
2348 posts
1840 upvotes
Ontario
awesomepawsome wrote: Amazon isn't exactly known for selling premium clothing and accessories. When was the last time you bought a suit or a dress shirt that fit properly from Amazon?

I'm thinking its just a knee jerk reaction by the market. There aren't many big retailers left in Canada other than Walmart. Target is gone, Zellers gone, Sears gone, Reitmans is barely holding on after closing so many LOBs. Do people not buy clothing anymore?
Valid. But people dress more causally and there are plenty of smaller stores to go to with similar price to HBC and better service.

HBC revenue is derived from a lot more then luxury fashion. They will need to reduce their store footprint by 80% to eliminate all of the stuff that people do buy on Amazon.

The department store as a business model generally is in decline.
Newbie
Jul 7, 2013
14 posts
3 upvotes
Toronto
llpresident wrote: The department store as a business model generally is in decline.
Yeah I'm guilty of contributing to this myself. I bought an item that was for $23 on amazon vs going to my local walmart that had it for $24. Even though the walmart price was still fairly discounted, $1 off with free shipping was a no brainer.

Just hope the stock rebounds enough by summer for me to get a profit and exit. I bought Reitmans when it was at $15 and its been sitting at $4-5 for years now... Target coming to Canada caused their stock to plummet but post-Target-exit the stock didnt gain any momentum.
Deal Addict
Dec 3, 2014
2348 posts
1840 upvotes
Ontario
awesomepawsome wrote: Yeah I'm guilty of contributing to this myself. I bought an item that was for $23 on amazon vs going to my local walmart that had it for $24. Even though the walmart price was still fairly discounted, $1 off with free shipping was a no brainer.

Just hope the stock rebounds enough by summer for me to get a profit and exit. I bought Reitmans when it was at $15 and its been sitting at $4-5 for years now... Target coming to Canada caused their stock to plummet but post-Target-exit the stock didnt gain any momentum.
Well lesson learned I hope - stay away from retailers unless their online game is strong.

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