Dicks going to start sales again?

[VA_GENTLEMAN]

With all of the talk of possible CEO's, or a different CEO, this whole discussion and what Dick's has done over the last few years makes it clear that the Board of Directors needs to fire the current CEO.

Why? Because he is not providing the best return for the Shareholders, and by not firing him, neither is the Board of Directors.

It is very clear that in the last 8 months, selling Firearms, Accessories and Ammo is a very lucrative business. This current cycle has high margins, new customer acquisitions (new-buyers) and brings foot traffic into your retail space.

Dick's lost millions of Revenue and millions of existing customers when they made their decision a few years ago. Remember, this was not a "one-time event", but a loss every year from the customers that are 2A advocates that are no longer in the store and the loss of revenue directly from Firearm/Accessories/Ammo.

By all "traditional" rules of Incorporation that putz should be gone along with the Board. BUT....

Activist Investing is a thing. And with 80% of stock being held by Institutional Investors, you do not see movement like you should. Dick's is just a Beta 1 stock that Hedge guys can buy and hold for Dividend income and nothing much happens.

They have lost Billions in Market Cap over the last 3 years because of this stupid decision and millions of customer interactions.

And I have discussed this with one member of the Board of Directors of Dick's... and it's like talking to a wall.

 

[DrScaryGuy]

With all of the talk of possible CEO's, or a different CEO, this whole discussion and what Dick's has done over the last few years makes it clear that the Board of Directors needs to fire the current CEO.

Why? Because he is not providing the best return for the Shareholders, and by not firing him, neither is the Board of Directors.

It is very clear that in the last 8 months, selling Firearms, Accessories and Ammo is a very lucrative business. This current cycle has high margins, new customer acquisitions (new-buyers) and brings foot traffic into your retail space.
...

Except that when he went super anti, shares were at 35, briefly dropped to 31, did the market mambo for a few years, and now they're at $46
and they still seem to be going up
they haven't been this high in years, since before the anti thing.
Maybe their F&S stores selling non-ar guns is helping their bottom line after all.

 

[VA_GENTLEMAN]

Except that when he went super anti, shares were at 35, briefly dropped to 31, did the market mambo for a few years, and now they're at $46
and they still seem to be going up
they haven't been this high in years, since before the anti thing.
Maybe their F&S stores selling non-ar guns is helping their bottom line after all.

Yep.. that's the caveat I spoke too. Under the "traditionally accepted investment theory", this guy would be gone. But because the Stock is a Beta 1, which means it typically follows the S&P 500 performance, and that has risen since the decision was made; the gross negligence to shareholders is hidden.

It's not just Dick's and 2A, but many large corporations have benefited from "Rising Tide raises all Ships" from a good economy. In fact, it is pervasive in Board Rooms and Wall Street. Bad decisions are not carrying the consequences that they should.