One of the companies I have been following closely of late is Canadian retailer Sleep Country Canada Holdings Ltd. (TSX:ZZZ). This Canadian retailer has posted some strong earnings of late, and still holds fundamentals which makes this company a strong buy, in my opinion, given the overall weakness in retail we’ve seen with a number of other iconic retailers due to macro threats affecting the entire sector.
Sleep Country has done a good job of counteracting much of the discussion around e-commerce by launching its own e-commerce initiatives, taking the bull by the horn and attempting to make headway in a space which is shrouded with uncertainty currently.
While large, bulky items like mattresses may seem absolutely immune to such threats (they’re certainly much more difficult to go after, from an Amazon.com, Inc. (NASDAQ:AMZN) point of view), they’re no impervious to such threats, and the company’s management team has taken them seriously.
So seriously, in fact, that management has no problem with putting money where their financial statements are; in December, the company’s Senior V.P. of Operations bought approximately $750,000 worth of stock, boosting his holdings to more than 57,000 shares, a substantial position.
As always, a reminder that insider buying is in no way an indication of the direction a stock is expected to move in the near-term, and long-term investors should assess the fundamentals of said company and consult an investment advisor before making any purchases.
Invest wisely, my friends.
