Heelys, Inc. (NASDAQ:HLYS)
The Company is a designer, marketer and distributor of innovative, action sports-inspired products under the HEELYS brand targeted to the youth market.
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Recs
Heelys are under assault by many pediatric health organizations. A couple of major injury lawsuits and Heelys is probably toast.
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It is still early in this growth story, Roger Adams is a dynamic indvidual who always has his eyes on new products and ways to futher the comjpany.
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I saw this product on my girlfriend's sister's feet rolling around everywhere. I asked her where she got them and she said for Christmas so I took a closer look and saw they were a public company so I asked her if her friends at school were wearing the shoes and she said everyone has a pair. This is usually a good indicator if a company is a good investment just word of mouth. That is why HLYS is a buy every kid in america is talking about these and has to have them. I had to get a pair for myself and they are kind of addicting to roll around. That is why I think they might have some staying power. the kids love them and there is lots of room to grow imo. HLYS to 100 next 5 years.
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Don't get me wrong, I like heely's shoes, I would own a pair if they made them in my size still. The company just wet public and the stock is over hyped due to the christmas season. With a p/e > 40 and little growth prospects. A fad is no place for my money.
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fad stock. all the 8-13 year old kids here have them. will die out in a few months.
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Can you say...only 1 major product to sell???
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This stock may do well in the short term ..probably for a year or so. But this is more like a fad. I guess it will do well if you want to short the stock.
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Dog and pony show with only one pony, no dog. Pony listed on all consumer product safety lists as disaster waiting to happen. Pony inferior to existing products such as roller skates, in line skates, skate boards. Unless management can pull dog out of hat, this fad will die and no one will even remember it next year.
Recs
although they have production problems at the moment..this fad is not going away anytime soon a la crocs
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