Once again, the cretins who walk the halls of Seeking Alpha are out to destroy shareholder value.
Pray tell me, how did Seeking Alpha, the great website extraordinaire, become a bastion for the very worst people on the planet? 99% of their content is drivel, concocted by people who want to see a particular stock lower. They scheme and plot and issue ‘research reports’, disseminated across the internets, all so that the hedge fund who might have bought before the article was posted could get liquid and cover his shorts.
Do you really think these ‘authors’ are simple minded, self-directed, investors?
How many times have I pointed out their stubborn-headed wrongness? Remember when SBUX bought TEA for an all cash deal and those idiots were still screaming to sell it short, pointing to pesticides in the tea, attached with absurd lab reports? Or how about the hit pieces on YELP, at $15?
Just the other day, PAMT merged with Turtle Beach and some misfit from Seeking Alpha threw dirt at the merger, comparing Turtle Beach with SKUL, declaring the stock is significantly overvalued, yadda, yadda, yadda. As a result, the stock fell a staggering $4.
If there’s one thing Young Fly (my eldest son) is an expert on, it is video games. Aside from his exceptional IQ and being at the very top of his class, he loves to play the games. Turtle Beach doesn’t compete with the SKUL morons. They dominate the video game headset market, selling high quality electronics at premium prices. As far as I’m concerned, Turtle Beach did themselves a disservice by merging with PAMT, as they could’ve received a much bigger premium vis a vie IPO. However, perhaps they really liked PAMT’s audio technology and felt it would put them over the top.
Young Fly agrees with my assessment.
This much is certain: Turtle Beach did over $200 million in revenue last year, sold in over 27,000 storefronts across 40 countries, putting PAMT’s current price to sales ratio less than 0.5. This is the same ratio that SKUL sports. However, they aren’t targeting the same audiences. Moreover, with the new Xbox and Sony playstations scheduled to be released this winter, this is the perfect time for Turtle Beach to merge with a leader in audio innovation, a tailor made match of sorts.
Turtle Beach has the distribution channels and Parametric has the innovation. In my opinion, the stock is worth $30.
I bought shares of PAMT today.