Naked Brand Group (NAKD) Stock Sees Bearish Trend: Time To Hold Or Sell?
4:48 pm Friday, July 02nd, 2021
In recent times, the intimate apparel company Naked Brand Group (NASDAQ:NAKD) has had a rollercoaster ride this year due to a range of factors and it might be necessary for investors to get to know about those if they are interested in the stock.
After having struggled in its brick and mortar business, the company has not only decided to divest from that business but has also decided to transition into an eCommerce company. Hence, many experts now feel that it might be the time to be a bit bullish about the Naked Brands stock. In order words, Naked Brands is trying to chart a comeback story through its eCommerce move and that could actually be a compelling reason to look closely into the stock.
However, it is also necessary to note that earlier this year, the stock rallied on the back of a meme stock rally. The stock had rallied strongly earlier this year on the back of a short squeeze from retail investors from Reddit. The short is much lower at this point in time and hence, if the stock is to go up in price, then it will most likely happen due to the company’s core business.
In this regard, it needs to be noted that, unlike many other companies, Naked Brands identified its problems quickly and divested from its brick-and-mortar business in order to chart a new path. The company also sold some of its shares during the rally earlier on this year and that gave it the cash to pursue its recent changes in the business.
