SCCAF - Sleep Country Canada Is Facing Some Headwinds
Investment Thesis
Sleep Country Canada (SCCAF) [TSX:ZZZ] posted negative same-store sales growth in its Q4 2018 earnings. The environment is becoming more challenging due to macroeconomic uncertainties. First, the elevated household debt in Canada has constrained Canadian consumer spending on mattresses. Second, housing resales continue to exhibit weakness across Canada. Third, Canada's economy continues to be impacted by global trade tensions and weak energy prices. Therefore, we believe conservative investors should wait for signs of improvement before initiating a position.
Data by YCharts
Recent Development: Q4 2018 Highlights
Sleep Country reported Q4 2018 revenue growth