Now that Blockbuster (BBI) has thankfully given up on buying Circuit City (CC), it’s hard to find anyone willing to say anything positive about the borderline penny stock. Even Credit Suisse, whose $5 target represents a 150% return, appears to have given up. Enjoy the bear analogy:
Perhaps in response to comments from commentators that only bears would be comfortable residing in Circuit City, a [real] bear in Colorado Springs decided to take that advice and visited a Circuit City store. Much like Blockbuster and others who have thought about taking control of Circuit City, this bear evidently did not like what he/she saw and after surveying the presentation quickly departed.…
We have not been able to verify the belief that the bear actually left because they found the service levels substandard. If that was the case, then that bear would fit in with many other Americans who have chosen to shop elsewhere for their consumer electronic (and food) needs.
Credit Suisse maintains NEUTRAL on Circuit City (CC), target $5.