Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, department store operator Sears Holdings (Nasdaq: SHLD ) has received the dreaded one-star ranking.
With that in mind, let's take a closer look at Sears' business and see what CAPS investors are saying about the stock right now.
|Headquarters (founded)||Hoffman Estates, Ill. (1899)|
|Market Cap||$5.6 billion|
|Trailing-12-Month Revenue||$41.3 billion|
|Management||Chairman Edward Lampert
President/CEO Louis D'Ambrosio
|Return on Equity (average, past 3 years)||(13.3%)|
|Cash/Debt||$777.0 million / $3.2 billion|
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 37% of the 2,331 members who have rated Sears believe the stock will underperform the S&P 500 going forward.
This is a slowly dying company. Profits have disappeared and sales are slowing. It trades at [1.19 times] book value, but it is constantly losing money. It will fall to below book value soon. It doesn't offer anything that another store couldn't sell you at a cheaper (Wal-Mart) price. No reason to go to Sears or Kmart, or own its stock.
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