Topic: How To Invest

Q: Pat, what do you think about Aritzia as a retailer. Will it keep doing well? Thanks for your great recommendations over the years! Thanks.

Article Excerpt

A: Aritzia Inc., $49.95, symbol ATZ on Toronto (Shares outstanding: 88.5 million; Market cap: $5.6 billion; www.aritzia.com), is a Vancouver-based designer and seller of women’s apparel. The company currently operates 104 stores in North America, with 68 based in Canada and 36 in the U.S. Aritzia continues to expand in the U.S.—it recently opened a location at popular outdoor mall The Grove in Los Angeles. It now plans to open four to five new U.S. boutiques by early 2022, including locations in Miami, Las Vegas and Nashville. The company aims to strategically position its products between fast fashion (inexpensive trendy clothing) and luxury by offering a mix of higher-profit exclusive brands (comprising 96% of sales). Its “Everyday Luxury” approach targets well-designed, high-quality products at reasonable prices. Notably, Aritzia places a lot of importance on the shopping experience at its boutique stores. It aims to blend artistic touches, music and high-quality materials. All of its boutiques are “meticulously and uniquely designed” by an in-house…