Amid the wave of retailer reports hitting the market, we find that some companies just aren't up to snuff. Shares of Sharper Image , the store where comedian Jim Gaffigan reportedly buys his groceries, plunged more than 11% after the firm stated that same-store sales plunged 16% during August. Total sales for the month dropped 34% to $21.9 million.
Today's plunge has placed SHRP back below resistance at its 10-day and 20-day moving averages, after the stock rallied above these short-term trendlines during the past 2 sessions. Furthermore, the security is also trading below the $5 mark - the site of building near-term technical resistance. Since early June, SHRP has given up more than 65%.
Naturally, with a stock in such dire straights, pessimism is extremely high for SHRP. More than 34% of the stock's float is sold short, while both analyst following the shares rate them a hold. Meanwhile, complacency rules in the stock's options pits, as SHRP's Schaeffer's put/call open interest ratio (SOIR) of 1.36 ranks near the mid-point of its annual range. This complacency does not bode well for a rebound in SHRP shares.