HSNI

HSN Inc.

TMT, Consumer, Event Driven/Special Sit


Presented:06/23/2014
Price:$58.63
Cap:$3.12B
Current Price:$40.35
Cap:$2.12B

Presented

Date06/23/2014
Price$58.63
Market Cap$3.12B
Ent Value$3.20B
P/E Ratio20.91x
Book Value$11.49
Div Yield2%
Shares O/S53.22M
Ave Daily Vol270,000
Short Int2.66%

Current

Price$40.35
Market Cap$2.12B
HSN, Inc. operates as an interactive multi-channel retailer in the United States. It operates through two segments, HSN and Cornerstone. The HSN segment offers jewelry, apparel and accessories, beauty and health, and home products, as well as household, home design, electronics, culinary, and other products through television home shopping programming broadcast on the HSN television networks, the HSN.com Website, mobile applications, and outlet stores. The Cornerstone segment provides home furnishings, including indoor/outdoor furniture, home décor, tabletops, textiles, window treatments, and other home related goods under the Frontgate, Ballard Designs, Grandin Road, and Improvements brands; and apparel and accessories under the Garnet Hill, TravelSmith, and Chasing Fireflies brands. This segment operates 8 e-commerce sites; distributes approximately 320 million catalogs; and operates 10 retail and outlet stores. The company markets and sells a range of third party and private label merchandise directly to consumers. HSN, Inc. was founded in 1981 and is headquartered in St. Petersburg, Florida.

Publicly traded companies mentioned herein: Amazon.com (AMZN), HSN, Inc. (HSNI), Liberty Interactive Corporation (LINTA)

Highlights

The presenter believes the timing is opportunistic to own shares of HSN (HSNI). He had previously been involved in shares of Liberty Interactive (the owner of HSNI’s rival QVC) for years because it was cheaper, growing faster, buying back shares and more exposed to international growth. However, this has all reversed and today he sees a better risk/ reward profile with shares of HSNI (for the first time he can recall).

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Idea Discussion

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