Dick's Takes Advantage of Recession with Store Purchases in Oregon
According to this report, DKS has bought 6 prime store locations from a bankrupt retailer in Oregon. This is a prime example all the strong retailers will take advantage of this recession. They'll continue to gain marketshare. I'm not overly bullish about the retail sector as a whole, but the strong companies will spend the next year or so taking share from the companies going belly up. DKS will be one the big benefitors from this trend as sporting goods is very fragmented and in need of consolidation. They'll eventually be the Best Buy of the sector.
- The downfall of a regional sporting goods chain in Oregon is providing Dick’s Sporting Goods, Inc. the opportunity to accelerate its expansion plans there.
- With only one store in Oregon so far, Dick’s (NYSE:DKS) has committed to take over six former locations of Joe’s Sports, Outdoor & More, a 31-store regional chain based in suburban Portland that went out of business in May after filing for bankruptcy, according to a report in The Oregonian.
- The new Dick’s stores, representing 300,000 square feet of new space for the retailer, are expected to open this fall in locations that include suburban Portland, Eugene and Bend, in central Oregon.