The Business of Fashion
Agenda-setting intelligence, analysis and advice for the global fashion community.
Agenda-setting intelligence, analysis and advice for the global fashion community.
An attack on short positions by Reddit users continued for some stocks Thursday, sending their valuations soaring once again, while others trimmed recent huge rises.
The share prices of headphone-maker Koss Corp. and swimwear manufacturer Naked Brand Group Ltd. more than doubled in premarket trading, having already gained 1,538 percent and 203 percent, respectively, this week as hedge funds scrambled to close short trades on a number of companies touted on the WallStreetBets forum.
The most-prominent example of the recent short squeeze mania, GameStop Corp., see-sawed in premarket trading and was down 12 percent at 9:02 a.m. in New York. The stock has surged 1,745 percent this year.
XpresSpa Group Inc., an airport spa operator that pivoted to Covid-19 testing, surged as much as 48 percent as Reddit users dubbed it the “next short squeeze.” Other short favourites rising included biotech Cel-Sci Corp. and miner First Majestic Silver Corp.
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Cinema group AMC Entertainment Holdings Inc., meanwhile, was down 20 percent, having erased its pandemic-induced plunge Wednesday with a 300 percent surge. Retailer Express Inc. slipped too following a surge this week, while Bath & Beyond Inc., and fashion firm Fossil Group Inc. erased declines ahead of the open.
By Joe Easton
Antitrust enforcers said Tapestry’s acquisition of Capri would raise prices on handbags and accessories in the affordable luxury sector, harming consumers.
As a push to maximise sales of its popular Samba model starts to weigh on its desirability, the German sportswear giant is betting on other retro sneaker styles to tap surging demand for the 1980s ‘Terrace’ look. But fashion cycles come and go, cautions Andrea Felsted.
The rental platform saw its stock soar last week after predicting it would hit a key profitability metric this year. A new marketing push and more robust inventory are the key to unlocking elusive growth, CEO Jenn Hyman tells BoF.
Nordstrom, Tod’s and L’Occitane are all pushing for privatisation. Ultimately, their fate will not be determined by whether they are under the scrutiny of public investors.