Many thanks to Dave and Skip for sharing this article from the Wall Street Journal which highlights the struggle RadioShack faces this year: an effort to modernize before their stock value slips to zero:
(Source: The Wall Street Journal, Marketwatch)
RadioShack Corp.’s mounting losses amid declining sales have been widely covered in the media. The company’s misfortune has also inspired Wall Street analysts to slash their target price on the stock, with a range this year of $1 to $3 a share.
However, that changed on Wednesday after B Riley analyst Scott Tilghman, who already rates the stock RSH +0.87% a sell, lowered his price target to zero from $1 a share after the company on Tuesday reported another in a series of wider-than-expected losses. The company’s cash level also plunged. Chief Financial OfficerJohn Feray said Tuesday the company has enough liquidity to execute its turnaround over the next 12 months, and that it’s examining expenses from utility bills to ocean freight.
“We think survival is in real jeopardy” with the cash burn and lack of asset value, the analyst told MarketWatch.
Continue reading on WSJ’s Marketwatch.
I recall buying cb radio and shortwave stuff in the 70s
Then computer stuff in the 80s
Then ham radio stuff and cellular in the 90s
And more cellular and scanners in the 2k era
The Canadian stores were sold off to Circuit City then rebranded as The Source and then bought by Bell Canada
The Telco kept the small format stores as their mall store, thinned out the DIY and added more tablets and accessories
They are growing and increasing market share and holding their own against the big box and department stores.
Radio Shack needs to come to Canada to see what they are not doing right
Radio Shack must creatively use their local stores. Carry popular items commonly found only online in stores to drive traffic. Again, find a creative use for those local stores…
Radio Shack made some strategic errors back in the 1980s and 1990s as they once had a major influence on the development of microcomputers. I remember my first computer, Tandy’s Color Computer, with fondness. I still use much software from that era in a 6809 emulator today. I wish Radio Shack well as they struggle for survival.
I worked for Radio Shack back in the 70’s and the reason Radio Shack was so popular then was because it had what people wanted. Later a new CEO took office and that was when Radio Shack started to go down hill, The new CEO had no knowledge of what Radio Shack was and change it HIS way which was the wrong thing to do. The new CEO did not want to listen to the customer much less all the managers of the stores. I never shop at Radio Shack and I do not know anyone that does. They should have changed the name to Target Shack…