October 20, 2009
SpeculatingStocks.com Stock Pick: American Apparel, Inc. (APP)
Stock Price: $3.15
American Apparel, Inc. is a vertically integrated manufacturer, distributor, and retailer of branded fashion basic apparel based in downtown Los Angeles, California. The company also operates a leading wholesale business that supplies high quality T-shirts and other casual wear to distributors and screen printers.
APP is just starting to heat up after recently trading below $3.00. Insiders were purchasing heavily between the $2.75 - $3.44 back in March when it was around the same level, before APP moved to $6.97.
We believe this is a solid entry level into APP. American Apparel is trading at a market cap of only around $223.75 million.
APP reported revenue of $136.06 million for the quarter ended June 30th, 2009 and net income of $4.46 million. Volume has started to pick up as APP begins to reach higher highs and higher lows.