SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : Value Investing
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: $Value$ who wrote (62712)10/20/2019 8:43:28 AM
From: bruwin1 Recommendation

Recommended By
Lance Bredvold

  Read Replies (1) of 78774
 
TLRD.

"Company in the midst of a transformation period"

Ok. So ?

"Trading at a price/sales ratio of 0.07"

Here we go again .... a RATIO using the VARIABLE of "Price", which can vary on a DAILY basis. And on top of it, using the TOP LINE of the Income Statement and thereby not taking into consideration what the REST of the Income Statement has to say about the overall BUSINESS PERFORMANCE OF THE COMPANY .... which will end in its Bottom Line and the amount of Revenue available to shareholders.
Any "Industrial type" company has 'Sales'. What's the point of using it as some form of "Indicative Ratio" if it can VARY over the very short term ?

".... but one they can over come with their free cash flow. .... I'm expecting at least $500 Million in FCF from 2019 – 2022"

Really ?

At the end of the day FCF is derived from "Cash From Operating Activities (CFOA)". After that there are generally 3 more deductions ....



..... and in TLRD's case CFOA has been declining which results in a concurrent decline in "Cash and Equivalents" on their Balance Sheet ....



So it doesn't look like FCF is going to be that much of a panacea in TLRD's future with regard to sorting out its Debt Load.

Looking at TLRD's overall Business performance ......



...... apart from a favourable "Margin %" due to a relatively low Cost of Revenue number, it's all downhill from there resulting in less than 2% Net Income to Revenue based on the TTM numbers.

The ROE% is high due to the relatively low Shareholder Equity number .....



"I found the company's recent partnership with the NHL & NFL to be a fantastic decision that could boost both revenues and profits."

One hopes that produces the much needed Revenue that TRLD needs because this company's debt expense is already chewing up over 35% of its revenue left over at the EBITDA level.

However, the company needs to also do something about its very high SG&A expense. Only 6.6% left over at EBITDA .....

Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News