Research Notes: Value In Specialty Retail, Part I

A look at The Children's Place (PLCE) and the case for specialty retailers.

(Author’s note: This will be the first in a two-part series. Part II will arrive on Friday morning.)

Highlights:

• The pre-pandemic bear case for specialty retailers has returned with a vengeance amid a gradually normalizing environment.

• With the market punishing nearly all stocks in the space, it’s worth hunting for value.

• The Children’s Place (PLCE) offers an intriguing turnaround story. But this is an industry where turnarounds rarely work.