Cato's Operations Are Eating The Deep Value Play

Alistair Berg/DigitalVision via Getty ImagesCato Corporation (NYSE:CATO) is an American apparel retailer. The company's stock is a deep value battleground because of its low EV and strong balance sheet coupled with dismal last-decade operational results. I analyze Cato's brand value proposition in this review and discuss some operational challenges. The brand seems outdated, the value proposition is not ideal for apparel retailers in the current context, and operational efficiencies are low. On the deep ...