- NAKD has a history of declining revenues while net losses have grown on an annual basis.
- NAKD is exploring a potential divestment of its flagship brand in order to pursue an exclusively e-commerce operating structure, exposing more risks.
- Shares are trading at over a half billion dollar valuation, $523.6 million fully diluted, which will be very hard to sustain with declining revenues.
- Turnaround stores are seldom successful, and Naked has been showing signs of distress for quite some time, and another reverse split could be possible.
For further details see:
Naked Brand: A Highly Risky Investment After The Squeeze