QVC Group Inc. (QRTEA)
NASDAQ (CM) NASDAQ (CM) Primary 
XWBO 
Qurate Retail: I Am Buying The Heavily Discounted Preferreds
Qurate Retail's preferreds are trading lower and now offer a 21.8% yield on cost on the back of their $8 per share annual coupon. I'm picking these up for 37 cents on the dollar in exchange for moderate credit risk against positive free cash flow and long-term debt that's been declining. The retail group is pivoting to online streaming and social media platforms with a full rebrand to QVC set to take place in the first quarter of 2025.
Qurate Retail: Preferreds At 40 Cents On The Dollar, 20% Dividend Yield Are A Strong Buy
I'm buying Qurate Retail's 8.0% Series A Cumulative Preferred Stock at a 60% discount to their liquidation value and with a 20% yield on cost. The current discount is expected to close as Qurate's deleveraging, free cash flow, and Fed rate cuts improve market sentiment. Preferreds are down despite favorable Fed rate cuts, with redemption obligations by 2031, suggesting an undervalued opportunity.
Qurate Retail: Operational Turnaround And Balance Sheet Flexibility Set To Boost Share Price
Qurate Retail is transitioning from cable TV to e-commerce, with e-commerce now constituting the majority of sales, improving margins and cash flow. Despite sales declines, operational turnaround efforts under Project Athens have stabilized revenue, grown OIBDA, and are expected to generate $400 million in free cash flow for 2024. The company faces significant debt challenges but is making progress with creative refinancing and debt reduction strategies, enhancing financial flexibility.
QVC to add USA Pickleball to its home shopping experience
QVC is becoming the exclusive broadcaster of USA Pickleball as the home shopping network owner looks to experiment with sports and bulk up its streaming platform. QVC will also be the exclusive retail industry partner of USA Pickleball as part of the multiyear partnership.
Qurate Retail: Value Stock In Retail's Forgotten Corner
Qurate Retail, Inc. offers a high-risk, high-reward opportunity, trading at a forward P/E ratio of 0.5x, with signs of revenue stabilization and positive cash flows. Despite past GAAP losses due to non-cash impairments, Qurate's core business remains profitable, generating positive adjusted net income and free cash flow. The company's debt is manageable, with leverage ratios stabilizing, and interest expenses covered by adjusted EBITDA and operating cash flow.
