I awoken from my slumber around 11am today, without a care in the world. School will be starting soon, which means that “The Fly’s” morning breakfast eatery and car service, ferrying the kids to and fro school, will be in full effect. This being the last week of August, marking yet another summer gone by without the world ending, I am Sancho Panza of the blogging world — taking siestas and eating large vegan meals whenever I want.
As you could imagine, I was delighted to see both BBY and FINL shot to pieces this morning. The latter offered horrendous earnings and guidance, something I had been warning about since last year.
Releases Q2 preliminary results; sees Q2 sales of $469.4 mln vs. $477.8 mln Capital IQ Consensus Est, sees EPS of $0.08-0.12 vs. $0.38 consensus; lowers comps sales through remainder of FY18 to declining 3-5% versus its prior guidance for an increase in the low-single digit range; lowers FY18 EPS guidance below consensus; guides Q3 EPS below consensus; guides Q4 EPS below consensus
I will reiterate my thesis.
The sneaker trade is dead. The NBA is the greatest generational short of our lifetime. It is the new hockey and the numbers will soon reflect that reality. Incomes aren’t rising enough to justify $300 sneakers. Ergo, FINL, FL, NKE and others will get flushed down the toilet.
BBY is down sharply too and the mall, as we know it, is dead.
I spent $99 at Whole Foods yesterday or a half bag of vegetables and some meat for company. All of the shit on sale was non-organic — because they’re gouging the good people of Princeton — a people who raise irreverent children who frantically cycle throughout the streets cursing at gentlemen — making fun of their cool hats.
Copper is collapsing too, as predicted. Shares of FCX are a sell.
The market isn’t any good here. Save yourselves. Hop aboard the ark, via TLT, or get inside the mine, via GLD. Let this phase of the market pass and get back in after the dust settles.If you enjoy the content at iBankCoin, please follow us on Twitter