National Dick's stock plunges on poor gun and sports sales

[best defense]

I have been in Dick's two or three times. Never did buy anything. The people behind the counter do not seem to be real well informed. They cannot answer detailed questions. I just cannot force myself to purchase from that kind of store.
It is only my opinion, but they would do better if they did away with the guns and fishing and boating depts. altogether and just stuck to Baseball, Basketball, Hockey, and Football. I suppose they might do well selling for some other team sports, but as much as the management seems to want to sell guns, the people they hire to work in that dept don't come across as someone I would trust to handle an unloaded gun, much less a loaded gun.

 

[TheShanMan]

I got into guns after they dropped AR's and the like so I missed out on the whole hubbub. I bought a .22 on sale and it wasn't a bad deal but I've since decided not to shop there anymore because everything is expensive. Why go there when Bimart has good prices on their limited selection, especially when on sale, or a gun shop, Sportsmans, or online otherwise? I do think it's funny that they carry .223/5.56 ammo. Yeah, I'm really going to buy that from a store that won't sell the guns!

They have to be aware of the strong gun sales overall month after month this year according to NICS data. Hopefully they realize how badly they screwed up!

Someone mentioned CTD being similarly disliked. They're one of the last places I look when shopping online simply because I find them to be consistently NOT the cheapest for whatever I'm buying. What's the problem with them though?

 

[Spooly]

(I find them to be consistently NOT the cheapest for whatever I'm buying. What's the problem with them though?) During the Obumer gun scare CTD started price gouging!! AR mag $8..... priced at $100 each at CTD. ect...ect... Real dirt bags!

No Dick's
No CTD
No Springfield Armory!
No River Rock arms!
I have a very long memory.... Smith & Wesson still pisses me off.

 

[Basedgreaser]

(I find them to be consistently NOT the cheapest for whatever I'm buying. What's the problem with them though?) During the Obumer gun scare CTD started price gouging!! AR mag $8..... priced at $100 each at CTD. ect...ect... Real dirt bags!

No Dick's
No CTD
No Springfield Armory!
No River Rock arms!
I have a very long memory.... Smith & Wesson still pisses me off.

What did RRA and SA do? I rember hearing something about sa

 

[nehalemguy]

The company that bought Joe's is Crystal Investments and Liquidation Services out of Kali! Before that it was a Shell of the same company, the same that changed the name to "Joe's" This company really screwed the public over with warranty issues on those cheep Chinese knock off atv's and motorcycles ( many law suits)! Also, killing off the auto and marine part of the company was a bad move!

I thought it was Peregrine Holdings (Roy Rose and Dan Alderman) that backed Daniels when he took over G.I. Joe's ?

Peregrine Holdings Ltd was the same "investment" firm that bought Larry's Sports Centers out of bankruptcy. They then spent the next two years picking that carcass clean before kicking the bones back to the bank.

Fyi........I worked for both Joe's and Larry's.

E

 

[nehalemguy]

My wife recently found a kayak she wanted at Dick's. I managed to talk her out of it and instead took her to REI and spent $300 more........yes REI. That is how much I despise Dick's.

E

 

[Gaucho Gringo]

The only thing I ever bought from them was a gun safe that I bought about 5 years ago. It was a 24 gun Stack-On Elite that was on sale. On top of that they were having a one day 20% off with coupon sale. At first they weren't going to honor it, I said fine I will sue you for false advertising. They blnked and I got the safe for a little over $300.00. They definitely lost money on that sale and have never bought anything else before or after from them.

 

[cookie]

I went to Dicks when t22 lr was scarce and the clerks were Boy Scouts when My son was a Boy Scout and when the limit was 2 boxes they told me it is 2 cases so I bought them that is it with Dicks.

 

[erwin643]

Just speaking as a professional survivalist-turned full time stock trader (something I've been fascinated with all my life), I thought I'd analyze Cabela's stock (CAB) here for everyone:

First off, the old adage applies: Buy on the rumor (or sell, or short in this case) and sell (buy to cover) on the news. Or to make it less confusing, I would BUY here for the following reasons:

(1) As of today on the daily chart, CAB broke above its 10-day moving average: A very important one, coming off of a definite bottom.

(2) On the weekly chart, CAB broke above its four-week moving average. Another good sign (the biggest secret of the stock market is the four, 10 and 20 (EMA) moving averages.

(3) On the monthly chart, CAB has found support at its 20-month exponential moving average, which happens to be the bottom described in (1). This stuff is like playing three-dimensional chess.

If you have fundamental reasons to think CAB might continue going up, I would buy here with a limit sell at 60.

Personally, knowing the state of ALL retail right now (to include flea markets and gun shows), I wouldn't touch this stock.

 

[BillGabby1]

I have been in Dick's two or three times. Never did buy anything. The people behind the counter do not seem to be real well informed. They cannot answer detailed questions. I just cannot force myself to purchase from that kind of store.
It is only my opinion, but they would do better if they did away with the guns and fishing and boating depts. altogether and just stuck to Baseball, Basketball, Hockey, and Football. I suppose they might do well selling for some other team sports, but as much as the management seems to want to sell guns, the people they hire to work in that dept don't come across as someone I would trust to handle an unloaded gun, much less a loaded gun.

Recently a Dick's opened in the Medford / Grants pass area, and we get their "Sale"
ad sheet in the weekend newspaper, I was thrilled with the idea we were getting a new Sporting Goods Store, because the mega Wall Mart couldn't stock ammo and was trying to phase out rifles and shotguns, forget about hand guns, they are dangerous you know! So I read their crappy ad sheets and there was NOTHING firearms related period. Needless to say I didn't even bother to check their address.
Lowly BiMart carries more guns , ammo, and reloading materials than either store.
I just wish they were 35 miles closer. Big 5 has some stuff, no hand guns unless you count airsoft and such.
Bought a pair of walking shoes there, that literally fell apart while I was wearing them, the best item I got there was a fiber glass pool cue, every thing else is usually priced too high and /or of poor quality (read Chinese junk).
Walked through Sportsman's Outlet in Medford and came away with sticker shock, heck I can get that from my local gun shop, that charges all the market will
bear + because he's the only place in town just got a whole brick of Federal American Eagle from him for $40.00, ouch! I was getting low on 22's and bit the bullet. Fortunately I had just done some work for the neighbors, and had a little cash I could spend. That's pretty hard to come by here in Podunk, OR when you are at the 3/4 century mark, so I've been on a buying spree before the boss figures out how to pick my pockets when I'm sleeping. If you are looking for guns in the Grants Pass area look up Fox Firearms on 520 NE F St; Grants Pass, Oregon 97526
right behind Jimmies Drive In best burgers in town, cutest waitresses too.
Yes my wife knows I like to look, so does she!
They have a great selection and reasonable prices, those glass pistol cases get slobbered on whenever I can stop by, they keep the Windex and towels ready just for me.
Gabby

 

[Tully Mars]

Stopped into one of their stores when one of my Daughters needed a new soccer ball. As I had never been into one of their stores I drifted to the gun counter. Confirmed my suspicions that it was an over priced yuppie store with a few token guns and left. That was in Colorado and I've never set foot into another of their stores.

 

[CoastRange57]

Since marketing is my main gig these days, Dicks has made many mistakes over the years that is starting this most likely irreversible stock decline and the predictable sacking of the CEO soon. If you were to get a focus group together and run some market research on that segment, you would probably find very little brand awareness of Dicks as a hunting / shooting retailer. They would most likely be lumped in with Sports Authority or some other discount sporting goods chain. If you were to look at square foot sales on those under performing sections in the store, the sales are probably way more anemic that they are telling. The most likely reason for a 17% drop in guidance is that they are affixing blame for bad performance on a particular sales segment in order to buy them time to try some kind of product mix reorganization to bring sales and profits back up. That will take close to 3 quarters to see any kind of measurable improvement. Throw in the fact the CEO and his team azzes are on the line and they may not see the process through.

In a very crowed segment with leaders like Cabellas, and after they bought up Bass Pro Shops, they have very recognizable marketing and brand awareness going on. Dicks has none. Given the amount of sales that are going online, brick and mortar is going to have to be very shrewd in how they move forward. Proper locations in suitable demographic areas will be key, because as a consumer of those products, going to a store is really my last consideration to purchase things. Fighting traffic to get there, having to talk to brain dead employees, fighting traffic to go home, and trying to resolve any product issues are all negatives to going into a store to spend my discretionary dollars. If that is how purchasing patterns go for the 60 year old's, what are the patterns for the millennials going to be ??

In the past two weeks, for the various gigs I do, I have spent about $ 500 on needed items, mostly on EBay, since the customer completely controls the process there. Personally probably another
$ 300 on planned purchases, ham radio gear, camera supplies, home improvement items. I did go to the grocery store though.

Dicks who ??? What do they sell ?? Tennis shoes ??

 

[CoastRange57]

Personally, knowing the state of ALL retail right now (to include flea markets and gun shows), I wouldn't touch this stock.

Agree. In retail I will stick with Costco and Apple for my retail exposure and call it good there. Other segments are better right now.

 

[titsonritz]

(I find them to be consistently NOT the cheapest for whatever I'm buying. What's the problem with them though?) During the Obumer gun scare CTD started price gouging!! AR mag $8..... priced at $100 each at CTD. ect...ect... Real dirt bags!

No Dick's
No CTD
No Springfield Armory!
No River Rock arms!
I have a very long memory.... Smith & Wesson still pisses me off.

Then you should add Ruger to that list, at least Tomkins took it in the shorts hard over their little Clinton games.

 

[AMT]

Walked into Dick's quite a few years ago. They had little Rossi .22LR/410 shotgun (2 separate barrels) single shot rifles on sale for $89.95. Marked down from $109.95 if I remember right.

Then there was a $20 Rossi mail-in rebate.

Heck, for $70 each, I bought 3 of those little things. Two, one for my each of my grandson's, and a pink one for my daughter.

I've been in a few times since then hoping I could find another good deal like that. It's never happened since.

 

[CoastRange57]

First off, the old adage applies: Buy on the rumor (or sell, or short in this case) and sell (buy to cover) on the news. Or to make it less confusing, I would BUY here for the following reasons:

(1) As of today on the daily chart, CAB broke above its 10-day moving average: A very important one, coming off of a definite bottom.

(3) On the monthly chart, CAB has found support at its 20-month exponential moving average, which happens to be the bottom described in (1). This stuff is like playing three-dimensional chess.

If you have fundamental reasons to think CAB might continue going up, I would buy here with a limit sell at 60.

Personally, knowing the state of ALL retail right now (to include flea markets and gun shows), I wouldn't touch this stock.

Good analysis. It is not far enough nor long enough off bottom for me to have any confidence in that 20 month number. I have a couple of companies that I buy on bottom every year and have for quite some time, and then sell about 8 months later for 20% gain. Predictably. They are not retail.

At CAB price today you are looking for a 10% target over last year. I get your number analysis, but I am not a big retail fan for earnings. That is a pretty lofty goal for a company coming off bottom. Love the product line, but it is still retail and the associated dependency on the fickleness of the American consumer, and nobody has to buy their products.

 

[Flymph]

I hadn't been in since it was still G.I. Joe's until this past year. I had to fight myself to buy something from them. I literally had to tell myself, but this product!
I have yet to buy anything from them.
The prices are bad, the selection is null... I just can't see how they can call the place a "sporting goods" store... I guess they sell apparel and balls.
They should change their name to "Dick's Balls Shop"...

 

[FullMetalJerk]

Dick's is the only place where I get pestered by 3 or 4 employees and still not be able to get help at the gun counter. They always buzz around me when I'm trying to pick something out in an isle... and then 5 minutes later they're nowhere to be found.

 

[Dallas Ken]

Dicks is a sporting goods store that just happens to sell guns as a side line. I have gotten a few really good deals there BUT you have to really read and understand their adds.
Kind of partial to Bi-mart these days.
Good day, Gents

 

[awshoot]

Dicks recently opened a store in Bellingham at the mall around the same time I was looking for a scope for my .22 -- they had 2 or 3 scopes in cabinet. I hadn't been to the mall in more than a decade and to break my streak with that little to show for it was really disappointing.