Thursday, August 03, 2006

Radio Shack On A Roll

Out of favor Radio Shack (RSH) has quietly been making a come back. At a current price of $16.75, the stock is up more than 20% from a 52-week low of $13.73. With new management taking the reins, investors are encouraged by the possibilities of this "turn-around" situation.

As a consumer, I was always put off by Radio Shack's image, which seems more about cables and connectors than cool gadgets. Given the choice, I would select Best Buy or Circuit City. However, Radio Shack has great convenience potential for those who don't want to brave the aisles of the super store floor plates. Great locations, visible staff and intimate store size are certainly marketing niches worth exploring when (and if) management tackles re-branding.