The Channel Checkers is a boutique research firm specializing in unbiased research using channel checking for hedge funds, money managers, news sites as well as web blogs. Their timely market reports provide higher levels of visibility and insight into a stock’s performance. Recently, the Channel Checkers examined Dell, WMT and ZUMZ. Here’s what they found. – Ilene 
Channel Check Reports, courtesy of The Channel Checkers
Channel Check Report for Dell (May 7)
Over the past week, we surveyed general electronics stores like Best Buy, Radio Shack and few independent locations to track trends in laptop and desktop PC sales. We asked the following questions:
How well is Dell selling compared to other brands?
What is the top selling Brand right now?
What is the top selling model from the top selling brand?
- 73% of respondents stated that Dell computers were selling better than other brands sold at their store location.
- 60% said that Dell was the top brand right now, 27% said that HP was the top brand and 13% said that Sony was the top selling brand.
- The Dell Inspiron was the top model according to 40% of respondents the HP Pavillion was tops according to 20%, while the Dell XPS and Sony VAIO were tops according to 10% each.
Conclusion of Channel Check: The survey shows that Dell computers remain well thought of at least in the consumer electronics retail space. Our survey does not capture corporate or on-line sales but gives some indication to preferences among brands. We did not see netbooks mentioned in this survey, but the incidence of those models might be indicative of the strength (or lack of strength) of the netbook trend. Overall the survey reflects positively on Dell’s brand.
Market Intelligence Report
Week of May 11, 2009
Positive
Business Trends Look Solid, Low-End Brands Lead Women’s Sales.
Ticker: WMT
Questions We Asked:
How is business this month?
Do you have any excess inventory or products that will go on sale soon?
Do you believe that the weak housing market and economy are hurting business at your store?
What is the top selling brand of women’s clothes right now?
- 60% of respondents said business was “above average”, 23% said business was average while 17% said business was “very strong”.
- 57% of respondents said they did not have any excess inventory. 43% of respondents said they did have excess inventory that would be put on sale soon, with no specific item being highlighted.
- 33% of respondents though housing and economic issues were hurting sales, well below previous surveys.
- Faded Glory, a Walmart store brand, was seen as the top selling brand of women’s clothing according to 50% of respondents. 10 said that Levi’s was the top brand.
Conclusion of Channel Check: Walmart stores business looks healthy with low levels of inventory, and low levels of concern by employees about larger macro issues such as housing and the economy. Lower end brands seems to be selling well such as Faded Glory and Levi’s.
Catalyst for stock movement:
WMT Reports Earnings on 5/14/09
Negative
Zumiez Stores Seem to Have Heavy Promotional Activity
Ticker: ZUMZ
Questions We Asked:
Has there been an increase in sales as summer approaches?
What is the most popular brand for teenagers?
Is the most popular brand products in stock or are they sold out?
What is the average sales receipt at this location?
Do you have an items on clearance?
- 70% have said that sales are increasing as summer approaches. 30% said they have not.
- The strongest teen brand was listed as Volcom according to 17%, 10% cited Empyre, 10% cited DC, 7% said earthquake and 7% said Bilabong.
- 100% of store reps said that the most popular teen brand (cited above) was in-stock.
- The average sales receipt at Zumiez shops were said to be $58.23 with a range of $25-$150.
- Winter gear was the primary category of clothes and accessories cited as being in “clearance” mode.
Conclusion of Channel Check: Sales activity, clearance items, and lack of strong dominant brands suggest that business is not extremely strong at Zumiez stores now. The average customer receipt is respectable but again does not suggest that business is booming.
Catalyst for stock movement:
ZUMZ Reports Earnings on 5/18/09
