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Microcap & Penny Stocks : Qurate Retail
QVCGA 11.84+5.4%Oct 30 3:59 PM EDT

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To: Sean Collett who wrote (17)5/13/2024 6:29:28 AM
From: Harshu Vyas  Read Replies (1) of 84
 
Seems that these overreactions are occurring frequently. Maybe I'm mad to attempt to buy the dip but it worked ok with VSTS. To me, QRTEA has got weaker over the past few years - undoubtedly. They're losing customers, revenues are down and margins haven't been maintained. BUT to completely write off the business seems crazy.

The real risk is that the business doesn't stabilise and the trend continues. But as you mentioned part of that "weakening" we see was due to some unlucky and poorly-timed factors (factory fire etc). I think the market's gotten too far ahead of itself and the equity under $300m makes the risk/reward worthwhile for me.

My other concern is that QRTEA are doing the opposite of IHRT. IHRT are spending aggressively and stupidly on potential areas of growth (podcasting). I don't know if QRTEA are trying to grow or expand at all (perhaps you know more?) but being overly conservative can also be dangerous in the long-term.
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