Savers Value Village Inc (NYSE: SVV) is a thrift store chain that is nearly entirely owned by Ares Management Corp (NYSE: ARES). They have 316 stores between the United States and Canada, and since their IPO 2 months ago, they have made a lot of internal changes in their stores that have been aggravating their customer base for weeks, as can be seen by a rapid increase in negative reviews plaguing their stores in the North East. Management has not resolved the majority of the underlying reasons that their customer base is not as strong as it could be, and adding insult to injury, they have made it worse. After reading their SEC filings, many inconsistent details are found that don't coincide with their actual business practices, leading me to think they have not been honest with investors, or worse, they have been completely incompetent. If ARES continues to support them, they might take a huge financial hit in the next months, and if they don't, I can't see the thrift chain surviving at all. Diving into SVV's debt, cash on hand, assets, revenue, etc, I don't see them in a position that allows them much room for mistakes, yet they are making them left and right. Thoughts?
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