I can remember a time when it seemed like Limited Brands (NYSE:LTD) had a stranglehold on my local mall. Those times have passed, though, as competition has whittled away at the company's uniqueness and competitive position. As you might imagine, this hasn't exactly done wonders for the stock, and it sits in roughly the same place that it did in mid-1999.

Third-quarter results reflect some of the ongoing challenges. Total sales were flat and comp-store sales declined about 3% across the company. Comps have been tough for almost the entire year, with Express showing particular weakness. That was true again this quarter as Victoria's Secret's comps were down 4%, Bath & Body Works' comps were up 1%, Limited's comps were up 2%, and Express' comps were down 6%. Weak sales performance led in turn to weak profits, as the company reversed year-ago profits at the net income line.

Cash flow was also weak, with year-to-date operating cash flow about $233 million in the red. Investors should remember, though, that Limited Brands' fourth quarter is generally a very positive quarter from a cash flow perspective, and this year should be no different. So while an interim cash flow analysis may look problematic, extending it to a trailing 12-month figure shows positive operating cash flow of about $900 million.

To its credit, it's not as though management is standing still. The company seems to have plans for heavier Victoria's Secret marketing in November and December and is supporting new concepts like Pink and Intimissimi within those stores. Likewise, efforts to revitalize Bath & Body Works seem to be underway as well.

The remaining issue, though, would seem to be apparel, because Express is doing poorly and Limited isn't doing great. Anecdotally, it seems to this Fool that Limited Brands needs to clearly rebrand its stores, because I just don't understand whom they're targeting. Teens would rather go to Aeropostale (NYSE:ARO), young adults would rather go to Abercrombie & Fitch (NYSE:ANF), and there are a host of other concepts like Chico's (NYSE:CHS) or Gap's (NYSE:GPS) various stores that have their own niches.

Although the sales and profit figures aren't looking too appealing these days, these shares do look cheap on a cash flow basis -- even with modest growth assumptions. That could suggest that value hounds might have a reason to take a second look at these shares.

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Fool contributor Stephen Simpson has no financial interest in any stocks mentioned (that means he's neither long nor short the shares).