Ann Taylor Stores (ANN), one of my short picks for 2009, reported a set of pretty appalling results yesterday, including a staggering loss of $6.66 per share. This hardly came as a surprise to me, as I feel the company caters mostly to the section of the population most affected by the current economic climate. It is significantly more expensive than a number of discount retailers, but it is also far from high-end fashion. I don't see things improving for the company for some time yet as people seem to have significantly less disposable income available at present. Investors greeted the news by sending the stock price down 38%!
Prior to these results, Ann Taylor Stores (ANN) was the only one of my short picks to have posted a stock price gain for the year, now all of the picks are in negative territory.
Disclosure: At the time of writing the author did not hold shares in Ann Taylor Stores (ANN).
2 hours ago