Risk factor
Very high price volatility
Profitability factor
Greatly undervalued vs peers
About
Cache, Inc., including its affiliated entities, functions as a specialized retailer for women's apparel and accessories. They operate both through physical mall locations and an online platform across the United States. The company offers a diverse range of items under the Cache brand, encompassing sportswear like tops, sweaters, jackets, and various bottoms designed for daytime or evening wear. Their dress collection spans from shorter styles to full-length gowns, catering to different day, evening, and special event needs. Complementing their clothing lines, they also provide accessories such as jewelry, belts, scarves, and handbags. By August 11, 2014, Cache, Inc. had established a significant retail footprint, operating 239 stores spread across 41 states, as well as the U.S. Virgin Islands and Puerto Rico. The enterprise was established in 1975 and maintains its principal offices in New York, New York.
Company Valuation
Based on key historical and expected multiples, the stock is greatly undervalued relative to its peers. In particular, the stock is 'cheap' on EV/EBITDA.