Pier 1: Best Turnaround Story of Retail
In this roller coaster market, investors need to stay cautious and find high-quality American names with no European exposure, “Mad Money” host Jim Cramer said Thursday. Case in point—Pier 1 Imports.
Cramer calls Pier 1 the “best turnaround story in all of retail.”
In 2009, the company was on the verge of bankruptcy and its stock was trading as low as 10 cents at the generational bottom. However, since then the company has been “one of the strongest performers out there,” Cramer said.
The key, he said, was CEO Alex Smith’s strategy of shifting away from selling slow-moving big ticket items towards smaller, less-expensive pieces that sell more quickly.
The retailer reported a “robust” quarter Thursday, with results that met expectations. Pier 1 would have exceeded expectations if it hadn’t pre-announced better-than-expected numbers two weeks ago.
To find out more about the quarter and where the company is going, Cramer sat down with Pier 1’s President and CEO Alex Smith. Watch the video to see the full interview.
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