) announced the opening of a new store in Dover, NJ. The company
conducts operations through 46 locations in New Jersey.
The move reflects the company's strategic approach of
leveraging an extensive network of stores to effectively
penetrate into its target markets, which in turn facilitates it
to generate healthy sales and gain competitive advantage over its
) and Advance America.
During the recently concluded quarter, the largest rent-to-own
operator in the U.S, opened 2 new Core U.S. locations, acquired 3
stores, consolidated 14 stores with existing locations and closed
2, bringing the total store count to 2,972. The company also
opened 110 RAC Acceptance stores and consolidated 10 stores with
existing locations, resulting in 1,153 stores.
Twenty international locations were opened during the quarter,
bringing the count to 148 stores. ColorTyme, which is a wholly
owned subsidiary of Rent-A-Center, added 2 new locations and
closed 5 locations, with the total store count coming in at
For 2013, management plans to open approximately 60
rent-to-own locations in Mexico. Moreover, the company aims at
about 365 domestic RAC Acceptance kiosk additions.
Rent-A-Center offers consumer electronics, appliances and
furniture products under rental purchase schemes that allow
customers to own the merchandise upon completion of the rental
period. Due to continued tightening of the credit market,
customers see rent-to-own as a more flexible and viable option
compared to credit. However, the sluggish recovery and a fragile
job market may make customers reluctant to enter new
Currently, Rent-A-Center holds a Zacks Rank #3 (Hold).
However, until any further upward revision in Rent-A-Center's
Zacks Rank, other stocks in the finance-leasing universe worth
MCG Capital Corp.
KCAP Financial, Inc
), both of which hold a Zacks Rank #2 (Buy).
AARONS INC (AAN): Free Stock Analysis Report
KCAP FINL INC (KCAP): Free Stock Analysis
MCG CAPITAL (MCGC): Free Stock Analysis
RENT-A-CENTER (RCII): Free Stock Analysis
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