Sleep Country Canada (ZZZ) is Canada’s leading omnichannel specialty retailer that sells products through brick-and-mortar and e-commerce channels.

The company operates under three banners: Sleep Country Canada (pmnichannel operations all over Canada), Dormez-vous (omnichannel operations in Quebec), and Endy (Canada’s leading online mattress-in-a-box retailer).

As of December 2020, Sleep Country had 281 stores and 17 distribution centes across Canada. The stores have Canada’s largest selection of mattresses (including bases and metal frames), and accessories such as pillows, pillowcases, sheets, and blankets.

In 2020, 79.3% of revenues were from mattresses, with the remaining 20.7% from accessories. Sleep Country has demonstrated the ability to undergo market share expansion pre-pandemic.

From 2015-18, mattress market share expanded consistently every year at a 12% compound annual growth rate (CAGR) from 22% to 31% in 2018.

Furthermore, Sleep Country has a market share of 5%-8% in the accessories market. I am bullish on the stock. (See Insiders’ Hot Stocks on TipRanks)

Attractive Industry Fundamentals

The mattress industry in Canada is a $1.8-billion market that is growing across the nation. In the industry, the demand is driven by replacement cycles of 8-10 years.

During economic downturns, these sales are typically delayed but not lost, creating pent up demand. Similarly, Sleep Country also operates in a large sleep accessories market, which is estimated to be worth $1.5 billion.

Growth of E-Commerce Platform

Sleep Country launched a new website in Q4 of 2019 to provide customers with a way to shop online which creates a full omnichannel experience.

This positioned the company well going into the pandemic, where it had to shift its entire business to e-commerce platforms for a period of time as stores were closed.

The strategy proved to be a very successful endeavor, as the company achieved its highest revenues in history with a high gross profit margin of 32.3% in 2020. In 2020, e-commerce sales represented 21.4% of total revenues.

Strong Brick-and-Mortar Track Record

The company has a strong track record with brick-and-mortar stores in Canada.

In the June 2019 management presentation, the company outlined that its new stores cost ~$400,000 of capital expenditures and working capital investment.

These stores are typically cash flow positive within 12 months of opening. From 2015-18, Sleep Country opened around 13 stores a year on average, with 12 stores in 2019, and six stores in 2020 due to the pandemic.

In 2021, the company has outlined that it continues to believe in the brick-and-mortar store format, and will open a minimum of six new stores in 2021.

In addition to opening new stores, the company has also outlined a plan to renovate existing stores to the “enhanced store design” which has higher same-store sales (SSS) growth, relative to its legacy stores.

As of December 2020, 78% of its stores had been renovated, and it plans to renovate another 20-30 stores in 2021.

Strong Retail Partnerships

Sleep Country has demonstrated the ability to develop strong exclusive retail partnerships with mattress manufacturers and other retailers to sell its products.

The company currently has a partnership with Simba, a leading mattress-in-a-box retailers in the U.K. to sell mattresses in Canada. In 2020, It entered into a partnership with Purple Innovation, a U.S. mattress and bedding company, and Malouf, another U.S. company that had bedding and furniture products.

In September of 2021, Sleep Country signed an exclusive retail and digital partnership with Casper, to make the brand more accessible to Canadians.

On the retail front, Sleep Country recently expanded its relationship with Walmart Canada (WMT) with the launch of 10 new locations in Walmart Canada’s licensee spaces.

Earlier this year, Sleep Country announced a partnership with Best Buy Marketplace (BBY), to exclusively supply traditional mattresses on the platform.

Management Change

On July 2021, Sleep Country appointed Stewart Schaefer as president and CEO of the company, after Dave Friesema announced his retirement in 2021. Mr. Schaefer has been a part of the executive leadership team since 2006.

Mr. Schaefer founded Dormez-vous in 1994, and joined forces with Sleep Country in 2006. He has extensive industry experience, both as a founder, and as a strategic operator of a company with an omnichannel focus.

This leadership transition should be a positive move for the company, as it continues to grow its omnichannel strategy.

What Analysts are Saying about ZZZ Stock

From Wall Street analysts, ZZZ earns a Moderate Buy consensus rating, based on three Buy ratings and two Hold ratings. Additionally, the average ZZZ price target of C$40 puts the upside potential at 9.2%.

Bottom Line

With a leadership position in the Canadian market, the continued success of the brick-and-mortar strategy post-renovation, and the re-opening of existing stores, the legacy business is well-positioned for success.

In addition, the transition to an omni-channel strategy will provide further growth opportunities for the company.

This in-turn helps Sleep Country continue to develop strong retail partnerships across Canada, to both maintain and grow its leadership position, as it has over the last few years.

Disclosure: The author works as a manager at National Bank Financial and had no position in any of the companies discussed in this article.

Disclaimer: The information contained in this article represents the views and opinion of the writer only, and not the views or opinion of TipRanks or its affiliates, and should be considered for informational purposes only. TipRanks makes no warranties about the completeness, accuracy or reliability of such information. Nothing in this article should be taken as a recommendation or solicitation to purchase or sell securities. Nothing in the article constitutes legal, professional, investment and/or financial advice and/or takes into account the specific needs and/or requirements of an individual, nor does any information in the article constitute a comprehensive or complete statement of the matters or subject discussed therein. TipRanks and its affiliates disclaim all liability or responsibility with respect to the content of the article, and any action taken upon the information in the article is at your own and sole risk.

Beat the winter blues by adding a little more light to your day with these picks. Best Light Lamp

We independently research, test, review, and recommend the best products. Healthcare professionals review articles for medical accuracy. Learn more about our process. If you buy something through our links, we may earn a commission.

Using a light therapy lamp can be an effective treatment for seasonal affective disorder (SAD). SAD is associated with the lack of sunlight that occurs in winter months. Because individuals take in less natural light in winter compared to sunnier seasons, they experience a drop in serotonin, the “happy chemical” that naturally occurs in our bodies. This can make some people feel more drowsy and depressed.1 Light therapy lamp can provide feel-good natural lighting when it’s not present in our environment.

Because people with general depression often also experience low levels of serotonin, this population can also benefit from using light therapy lamp. These lamps can even help those with sleep disorders—like insomnia, jet lag, or simply sleeplessness caused by a change in work shift schedules—because light therapy can aid in regulating our natural circadian rhythm, helping us fight fatigue and restlessness.2

As you look for the best one for you and your routine, take into consideration adjustable settings so you can tailor the lamp to your surroundings, shape so it’ll fit into your space, light intensity, and a timer to prevent overuse.

Here are the best light therapy lamp on the market.

Our Top Picks

Best Overall: Verilux HappyLight Light Therapy Lamp at Amazon

Best Floor Lamp: Lavish Home Floor Lamp at Amazon

Best Budget: Verilux HappyLight VT10 Compact Personal at Amazon

Best Desk Lamp: Theralite Aura Bright Light Therapy Lamp at Amazon

Best for SAD: Carex Light Therapy Lamp at Amazon

Best Design: SkyView Bios SkyView Wellness Table Lamp at Amazon

Best Alarm Clock: Philips SmartSleep Wake-up Light at Amazon

Best Portable: Circadian Optics Light Therapy Lamp at Amazon

Best for Office: Carex Light Therapy Lamp at Amazon

Best Wall Mountable: Aura Daylight Therapy Lamp at Amazon

In This Article

Our Picks

What to Look For

Why Trust Verywell Mind

Best Overall: Verilux HappyLight Light Therapy Lamp

Pros

Portable and compact

Can be used horizontally or vertically

Includes a detachable stand

Cons

No brightness setting

6-foot cord not long enough for some

Stand works best on even surfaces

Measuring 8.5 x 6.5 x .5 inches, the lamp’s symmetrical, square design ensures that it’s small and discreet enough to fit into just about any space. But don’t let the size fool you—the lamp’s 10,000 lux brightness matches that of the morning sun, without the unwanted UV rays.3

The light fully stretches across the lamp’s front panel, bathing whatever room it’s placed in with clean, customizable light. The brightness helps for efficiency and comfort, all of which help improve your focus, boost your mood, and support a healthy sleep cycle.

Its small build also makes it easy to take on the go and is sure to help you feel energized throughout your day.

Dimensions: 8.5 x 6.5 x 0.5 inches | Brightness Settings: Not listed | Light Intensity: 10,000 lux | Type: Desk lamp

Best Floor Lamp: Lavish Home Sunlight Floor Lamp

Pros

Shock- and vibration-resistant

Adjustable height and angle

Easy assembly

Cons

Ideal for rooms over 350 sq. ft

The floor lamp’s flexible gooseneck design gives whatever room you place it in clear, bright light to energize anyone who walks in. With a 27-watt CFL Bulb that gives off just as much light as a 150-watt bulb without using the same amount of energy, you can experience a full spectrum of daytime sun hues for more focus, energy, and better sleep.

The lamp measures 60.0 x 10.0 x 9.0 inches and features a weighted base to keep it stable. With 1,300 lumens, its bulb can last up to seven months before being replaced. Get it in a variety of stylish colors.

Dimensions: 60 x 10 x 9 inches | Brightness Settings: Not listed | Light Intensity: 1300 lumens | Type: Floor lamp

Are you looking for lab-grown diamond jewelry? If yes, then you should check out our brand new line of lab-grown diamonds. Lab-grown diamonds are 100% real and come in various shapes and sizes. They are also affordable and perfect for everyday wear. Diamonds are the hardest substance known to man. They are also extremely rare, expensive, and beautiful. These gemstones have been growing in popularity as more people become aware of their benefits. In addition to being an investment, they are also used by surgeons during surgery. They are also used in dentistry because they do not cause any allergic reactions.

Why buy lab-grown diamonds from manufacturers?

The main reason for buying diamonds from a manufacturer is they can provide you with a wide range of variety plus the most affordable rates. But when it comes to quality, there really isn’t much difference between them and mined diamonds. The only major difference is that they are synthetic. Synthetic diamonds are made using carbon under high pressure and heat. This process creates a crystal structure similar to natural diamonds. Most of these diamonds are lab grown or synthetically created.

How does a lab grown diamond differ from a mined one?

A lab grown diamond differs from a mined one in several ways:

1) A lab grown diamond has no kimberlites, which are the naturally occurring crystals found within the earth’s crust. Kimberlite is what gives mined diamonds their color.

2) A lab grown diamond doesn’t contain iron impurities. Iron impurities give mined diamonds their yellowish tint.

3) A lab grown diamond contains fewer defects than a mined one. Defects include cracks, inclusions, and other imperfections.

4) A lab grown diamond is larger than its mined counterpart. It usually measures between 1/8th to 2 carats.

5) The price of a lab grown diamond is typically lower than a mined one.

How does a laboratory grow a diamond?

A diamond is formed deep within the earth’s crust. It takes millions of years to form and is the result of extreme pressures and temperatures. While lab grown diamond production is still relatively new, scientists have been able to replicate this process. A diamond begins as a single atom. Scientists use lasers to vaporize graphite atoms into gas. Then they bombard the gas with high-energy electrons. This causes the graphite atoms to bond together forming a diamond. Once the diamond is formed, it must be separated from the surrounding materials. This is done through chemical processes. There are two processes of lab grown diamonds; chemical vapor deposition and high-pressure high temperature.

Chemical Vapor Deposition (CVD)

In this method, a small amount of graphite is placed on top of a metal substrate. Next, the graphite is heated until it becomes plasma. The plasma is then deposited onto the surface creating a diamond film. This process is repeated multiple times to create a large number of diamonds.

High-Pressure High Temperature (HPHT)

HPHT diamond uses a combination of high pressure and high temperature. Diamond seed particles are added to a mixture of metals. The mixture is then compressed and heated to very high temperatures. As the mixture cools, the pressure forces the metals into contact with each other. This forms a solid mass of a diamond. The resulting diamond is extremely pure because it was not exposed to air during the growth process.

What are some uses for lab grown diamonds?

There are many different reasons why you would want to buy a lab grown diamond. Some people prefer to wear lab grown diamonds because they feel more secure knowing that they were not cut by humans. They also believe that lab grown diamonds are of better quality because they don’t contain any iron impurities. Some people choose to wear lab grown diamonds simply because they like the way they look. Others may purchase them to make jewelry or decorate an engagement ring.

Lab-grown diamonds can also be used as a replacement for natural diamonds. Natural diamonds come in all shapes and sizes. However, they are often too small to meet demand. In order to fill this need, scientists have created lab grown diamonds. These diamonds are much larger than their natural counterparts. They also tend to be more expensive.

Here are some of the reasons why you should buy lab grown diamonds;

1) A lab grown diamond has fewer defects than a mined diamond.

2) A lab grown diamond will last longer than a natural diamond.

3) A lab grown diamond is less likely to break under stress.

4) A lab grown diamond tends to be more affordable than natural ones.

Lab-grown diamond jewelry 

If you’re looking for something unique to wear, you might consider buying lab grown diamonds. Lab-grown diamonds are available in a variety of colors such as yellow, white, pink, blue, green, orange, red, black, brown, gray, and purple. Lab-grown diamond rings

You can also buy lab grown diamond rings. These rings are made using a special type of metal called platinum and gold. Platinum is one of the most popular metals used to make an engagement ring. But gold is more strong and more durable. When combined with a lab grown diamond, these rings become even stronger.

How do I know if my lab grown diamond is real?

The best way to tell if your lab-grown diamond is authentic is to ask for GIA or IGI certification. Both organizations certify diamonds based on their size and color. If your lab grown diamond meets the criteria set by either organization, then it’s probably real.

However, there are plenty of fake diamonds out there. Fake diamonds are usually sold at low prices like simulated and moissanite. You can check the authenticity of your diamond by asking for its certificate from a reputable jeweler.

FAQs;

Are lab diamonds real?

Yes, they are indeed real!

I’ve been working in the diamond industry since 1994 and have seen many types of synthetic diamonds over the years.

They are just as good as natural diamonds and sometimes better – they are cheaper, easier to work with, and are generally more consistent in color (in terms of hue). They are also more resistant to scratching and other damage than natural diamonds. In fact, I wouldn’t call them “synthetic” anymore. They are actually “lab-grown.”