Why Pep Boys Is Poised to Keep Plunging

Brian D. Pacampara, The Motley Fool
Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, car parts supplier Pep Boys (NYS: PBY) has received a distressing two-star ranking.

With that in mind, let's take a closer look at Pep Boys and see what CAPS investors are saying about the stock right now.

Pep Boys facts

Headquarters (Founded)

Philadelphia (1921)

Market Cap

$497.6 million

Industry

Automotive retail

Trailing-12-Month Revenue

$2.1 billion

Management

CEO Michael Odell (since September 2008)
CFO David Stern (since September 2012)

Return on Capital (Average, Past 3 Years)

6.6%

Cash/Debt

$78.7 million / $200.0 million

Competitors

Advance Auto Parts (NYS: AAP)
AutoZone (NYS: AZO) Sears, Roebuck and Co.


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 22% of the 217 members who have rated Pep Boys believe the stock will underperform the S&P 500 going forward.

Just yesterday, one of those Fools, All-Star badducky, succinctly summed up the Pep Boys bear case for our community: "Specialty retail will get crushed by on-line ordering and the repair business is a rough gig, with lots of competition for basic services, and cars that are only getting more complex. Yeah, I'm bearish on this one."

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The article Why Pep Boys Is Poised to Keep Plunging originally appeared on Fool.com.

Fool contributor Brian Pacampara and The Motley Fool have no positions in the stocks mentioned above. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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