I was drawn to Rent-A-Center's (NASDAQ:RCII) chart based on the fact that it seems to keep failing on its bounces to around $30. But my interest in shorting it was heightened only by the fact that, frankly, I think businesses like it are kind of scummy: they exploit the desires of the lower classes by allowing them to rent -- not own -- consumer goods. The whole thing smells bad to me, so I take particular joy in shorting them.
This isn’t the first time I’ve looked at companies that exploit the underclass -- the entire for-profit “education” sector leaps to mind, like the guys at ITT Educational Services.