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Why Finish Line Inc Fell 20% on Friday

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

Lyons understands this, of course, and is putting up his fighting dukes. "Right now, it's put up or shut up," he said on a call with analysts.

It's not exactly "do or die," since Finish Line still boasts a fundamentally healthy and pleasantly debt-free balance sheet. The company will survive a soft holiday season, and might even weather a downright disastrous one. Many a debt-ridden retailer hasn't had that kind of luxury, and gone belly up after a single holiday calamity.

That being said, Finish Line and Lyons will obviously be much better off if the new supply chain system comes up aces this holiday. Investors want to see a repeat of the fantastic holiday sales performances Finish Line pulled off in 2009 and 2011, not the disappointing growth figures it showed for the fourth quarters of 2010 and 2012.

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The article Why Finish Line Inc Fell 20% on Friday originally appeared on Fool.com.

Anders Bylund has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days . We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy .

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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