Jim McGovernFoot LockerFLSHORTJun 28, 2016

Today, they reported a terrific quarter. The CEO's turnaround plan is taking hold as Nike repairs relations with shoe stores. So are Deckers, New Balance and Adidas. Though shares jumped 5.12% today, FL remains undervalued.

They reported a great quarter two weeks ago, but shares tumbled 10%. The sellers don't believe the CEO's full-year earnings forecast. Is a buying opportunity.

Is holding on, since he bought this early, but won't recommend it. Stock has been a poor performer. Reports Thursday.

In late 2022, he believed too much in a CEO who couldn't turn around an awful company. The CEO had a great track record and warned the turnaround could take a long time. So, he was patient and bought a small position. A big mistake. His mistake. Hubris. A turnaround can take a very long time.

She had great faith in the new CEO whom he interviewed last March and bought a small position. The CEO came with a strong track record. He knew that turning around FL was a giant job, but it was impossible. He blew this call. FL was a flailing mall-based retailer. They reported ugly quarters in May and August, the latter reporting that sales sank 10% YOY and earnings -96% YOY. Lots of excess inventory. Awful. FL also halted their dividend, which is why many bought this stock. He was blinded by the CEO's great track record (and still believes in her), but the company had no chance for a turnaround. He should have known better.

Today it reported same-store sales of -8%, but the beat the street's expected -10%, so shares jumped 16%. The CEO transformed Ulta Beauty from a dog into a success. He expects upgrades tomorrow.

It once looked good: great CEO, fine dividend, but they cut that dividend and shares got hammered. His bad.