I want to start this idea by the fact that Corsair is a great company that makes great products. They are focusing on gaming gear, which in my opinion is a hot industry right now. But for some reason, $CRSR continues to go lower and lower. As a shareholder, I'm not happy with the stock's performance over the last 6 months. So, is it time to buy? Let's dive in deeper into Corsair's earnings, future expectations and much more.
Fundamental analysis
Because of COVID-19, you would expect Corsair to have a significant revenue increase. But that's not the case here. Weirdly enough, Corsair had a terrific 2019 with revenue growth of 55%. Since then, Corsair seems to have some issues with its profits/revenue growth. Of course, everyone can blame supply chain issues, but companies without them are the true winners. Given the fact that the stock is cut in half since it's highs in February, I think we can safely say that slowing growth is priced in.
Here are the numbers:
Technical analysis
From the technical side, buying a stock is out of the question. Stock is falling and breaking all the support lines effortlessly. In fact, shorting seems like a better option.
Conclusion
I think that Corsair is a great long-term investment with a lot of potential. Given the fact that Corsair is a well-known company, evaluation of 2.24B seems drastic to me. I'm a shareholder myself and I will continue to add shares to my position. I think it's a great buying opportunity, and I would suggest you to consider adding some to your own portfolio. Of course as always do your own Due diligence :-). I hope this helps. Feel free to leave a comment! Good luck!
Fundamental analysis
Because of COVID-19, you would expect Corsair to have a significant revenue increase. But that's not the case here. Weirdly enough, Corsair had a terrific 2019 with revenue growth of 55%. Since then, Corsair seems to have some issues with its profits/revenue growth. Of course, everyone can blame supply chain issues, but companies without them are the true winners. Given the fact that the stock is cut in half since it's highs in February, I think we can safely say that slowing growth is priced in.
Here are the numbers:
- P/E — 20.60
- Forward P/E — 15.46
- EPS (ttm) — 1.19
- Growth in trailing 12 months — Revenue is up 14.53%, meanwhile profits are up 25.36%
Technical analysis
From the technical side, buying a stock is out of the question. Stock is falling and breaking all the support lines effortlessly. In fact, shorting seems like a better option.
Conclusion
I think that Corsair is a great long-term investment with a lot of potential. Given the fact that Corsair is a well-known company, evaluation of 2.24B seems drastic to me. I'm a shareholder myself and I will continue to add shares to my position. I think it's a great buying opportunity, and I would suggest you to consider adding some to your own portfolio. Of course as always do your own Due diligence :-). I hope this helps. Feel free to leave a comment! Good luck!