Replay Link: CLICK HERE
Catch the replay of our Auto Parts Retail industry deep dive outlining the paradigm shift in the ecosystem. We quantified both the risks and opportunities that are expected to play out in the space over a tail duration. We have made initial calls on tickers, that based on our research will prevail and struggle over the foreseeable future.
ORLY: Best Idea Long. Here’s the quality play, and the world knows that. But numbers are low, and the space is far more defendable than the consensus/market thinks. Key factors that are turning positive that have caused the current slowdown in sales, and it goes beyond Amazon and online competitors.
AAP: Top name on our Long Bench. Actually a more interesting ‘battleground’ name for us. As we go deeper on this one, we’re saving a bullet in the chamber to go Best Idea. Or boot it entirely if the research call changes. Best takeout target in the space. This is one of those ‘sell the puts’ type names.
AZO: #2 on Short Bench. Biggest AMZN risk. Targeting the wrong part of the market. Most under-invested for future growth.
