Torrid Holdings: The Picture Is Risky Given Management's Bold Changes

  • Torrid Holdings faces declining revenue, shrinking store count, and worsening cash flows, making the current environment highly uncertain and risky for investors. Management's aggressive shift to e-commerce and sub-brand launches could pay off, but past online sales have declined, and execution risk remains high. Tariffs and the temporary exit from the shoe category will further pressure revenue and profitability, despite cost-cutting efforts and sourcing changes.