Based on the aggregated intelligence of 130,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, women's apparel retailer Coldwater Creek (NASDAQ:CWTR) has received a distressing two-star ranking.

With that in mind, let's take a closer look at Coldwater Creek's business, and see what CAPS investors are saying about the stock right now.

Coldwater Creek facts

Headquarters (founded)

Sandpoint, Idaho (1984)

Market Cap

$154.2 million


Apparel Retail

TTM Revenue

$1.02 billion


President/CEO Daniel Griesemer

CFO Timothy Martin

Return on Equity (average, last five years and TTM)

9.4% and (8.9%)


Ann Taylor Stores (NYSE:ANN)

Chico's FAS (NYSE:CHS)

Macy's (NYSE:M)

CAPS members bearish on CWTR also bearish on

General Motors (NYSE:GM)

Lennar (NYSE:LEN)

CAPS members bullish on CWTR also bullish on


Sources: Capital IQ, a division of Standard & Poor's, and Motley Fool CAPS. TTM = trailing 12 months.

Over on CAPS, 36 of the 111 All-Star members who have rated Coldwater Creek believe the stock will underperform the S&P 500 going forward. Among the entire bearish population are Afropuffashion, who is ranked in the top 5% of our community, and TSIF.

Just yesterday, Afropuffashion made this simple (but commonsense) case against the stock: "Retail in a downturn, but I like their clothes."

In a pitch from last month, TSIF expands on that bearish reasoning:

While Coldwater Creek caters to the more affluent, they are clearly being hit hard by the current recession. Although they have minimal debt their inventory and accounts [receivable] have been soaring the last year while accounts payable is down. Both the "retail" and "direct" segments are not recession resistant. The Retail segment consists of premium retail stores, merchandise clearance outlet stores, and day spas, all clearly luxuries in this economy. Mail order catalog and Internet sales are also very much on discretionary products.

What do you think about Coldwater Creek, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. More than 130,000 investors are waiting to hear what you have to say. CAPS is 100% free, so simply click here to get started.

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Apple is a Motley Fool Stock Advisor pick. The Fool's disclosure policy always gets a perfect score.