- LIVE showed tremendous improvement in profitability on flat revenues during 2020 despite the pandemic.
- Its Vintage Stock subsidiary is a similar business to GameStop and LIVE might receive a boost as an industry sympathy play. Especially since it has superior financial performance.
- Fully diluted EPS of $3.09 in 2020 leads to P/E of 6x. The bulk of LIVE's EPS came from the last two quarters, indicating accelerating profitability despite worsening COVID outbreaks.
- LIVE has generated strong cash flows along with its profitability and has used this cash to pay down debt and buy back stock.
- A combination of Q3 and Q4 EPS acceleration, lower interest payments, and lower share count leads me to believe that 2021's EPS will be far higher than 2020.
For further details see:
Forget About GameStop, Live Ventures Is Showing Strong Earnings Growth Even With COVID-19 Shutdowns