Vivid Seats Inc

Vivid Seats maintains a market price of $9.25, with a market capitalization of $101.63 million, and a price-to-earnings ratio of 16.73, which is in line with the industry median. The company's price-to-book ratio is 0.73, indicating that the market values the company at a discount to its book value. The enterprise value to EBITDA ratio is 10.41, and the enterprise value to revenue ratio is 1.13, both of which are within the industry norms. The company's liquidity position is characterized by $154.03 million in cash and equivalents, but with $267.59 million in long-term debt, the net cash position is negative, contributing to a medium liquidity risk.

Profitability metrics show a return on equity of 4.35% and a return on assets of 0.38%, both of which are below the industry median. The company's operating margin is 10.83% (calculated from operating income of $20.67 million on revenue of $190.85 million), and the net profit margin is 3.18% (calculated from net income of $6.07 million on revenue of $190.85 million). These figures suggest that the company is generating modest returns relative to its asset base and equity, and is underperforming in terms of profitability compared to industry peers.

Geographically, Vivid Seats' revenue is concentrated in the United States, as disclosed in its segments and geographic exposure. The company does not report revenue by product or service, but its primary business model is ticket resales and event ticketing. The lack of diversification in revenue sources and geographic exposure increases the company's vulnerability to regional economic downturns or shifts in consumer behavior.

Looking ahead, the company is projected to see a modest increase in revenue, with a current FY growth rate of 0.00% and a next FY growth rate of 0.00%. The absence of a clear growth trajectory is reflected in the flat revenue outlook. The company's capital expenditure is negative at -$656,000, indicating a reduction in capital spending, which may signal a focus on cost control or a lack of investment in growth initiatives.

The company faces a medium liquidity risk due to its negative net cash position and a debt-to-equity ratio of 1.92, which is significantly higher than the industry median. The risk assessment also highlights the potential for dilution, although it is currently rated as low. The company has not issued additional shares recently, and there is no indication of a pending equity offering or dilutive event in the near term.

Recent events include analyst estimates that show a mean price target of $10.58, with a median of $9.00 and a high of $18.00. The mean recommendation is 2.80, indicating a "Hold" rating, with no strong buy recommendations and three buy recommendations. These analyst sentiments suggest a cautious outlook on the company's stock, with limited upside potential in the near term.

Operating margin of 10.8% significantly exceeds the 3.7% median for the Online Services cohort.

Cash conversion ratio of 6.45 ranks as best-in-class among 362 Online Services peers.

Analysts project 35.1% upside to a mean price target of $10.58 from current levels.

Return on equity of 4.35% outperforms the 3.51% median for the Online Services cohort.

Debt-to-equity ratio of 1.92 places the company in the bottom quartile of its cohort.

The company faces high credit risk and medium liquidity risk according to risk flags.

Revenue $126.8M, −36,5% YoY; Operating income −14 589,4% YoY.

• ▍Revenue $126.8M, −36,5% YoY
• ▍Operating income −14 589,4% YoY
• ▍Net income −30 956,2% YoY
• ▍Free cash flow −9 664,4% YoY
• ▍Net margin -217.0%

Revenue $136.4M, −26,9% YoY; Operating income −312,2% YoY.

• ▍Revenue $136.4M, −26,9% YoY
• ▍Operating income −312,2% YoY
• ▍Net income −261,0% YoY
• ▍Free cash flow −132,8% YoY
• ▍Net margin -6.3%

Revenue $143.6M, −27,6% YoY; Operating income −4 308,6% YoY.

• ▍Revenue $143.6M, −27,6% YoY
• ▍Operating income −4 308,6% YoY
• ▍Net income −13 064,5% YoY
• ▍Free cash flow −2 953,8% YoY
• ▍Net margin -97.3%

Revenue $164.0M, −14,1% YoY; Operating income −124,8% YoY.

• ▍Revenue $164.0M, −14,1% YoY
• ▍Operating income −124,8% YoY
• ▍Net income −197,8% YoY
• ▍Free cash flow −103,4% YoY
• ▍Net margin -3.6%

Revenue $199.8M; Operating income $2.9M.

• ▍Revenue $199.8M
• ▍Operating income $2.9M
• ▍Net margin -0.4%

Revenue $186.6M; Operating income $10.8M.

• ▍Revenue $186.6M
• ▍Operating income $10.8M
• ▍Net margin 2.8%

Revenue $198.3M; Operating income $7.9M.

• ▍Revenue $198.3M
• ▍Operating income $7.9M
• ▍Net margin -0.5%

Revenue $190.9M; Operating income $20.7M.

• ▍Revenue $190.9M
• ▍Operating income $20.7M
• ▍Net margin 3.2%

Revenue $570.8M, −26,4% YoY; Operating income −1 948,0% YoY.

• ▍Revenue $570.8M, −26,4% YoY
• ▍Operating income −1 948,0% YoY
• ▍Net income −4 654,9% YoY
• ▍Free cash flow −1 370,3% YoY
• ▍Net margin -75.2%

Revenue $775.6M, +8,8% YoY; Operating income −48,1% YoY.

• ▍Revenue $775.6M, +8,8% YoY
• ▍Operating income −48,1% YoY
• ▍Net income −87,4% YoY
• ▍Free cash flow −58,7% YoY
• ▍Net margin 1.2%

Revenue $712.9M, +18,8% YoY; Operating income +10,2% YoY.

• ▍Revenue $712.9M, +18,8% YoY
• ▍Operating income +10,2% YoY
• ▍Net income +160,1% YoY
• ▍Free cash flow +72,3% YoY
• ▍Net margin 10.5%

Revenue $600.3M, +35,5% YoY; Operating income +81,2% YoY.

• ▍Revenue $600.3M, +35,5% YoY
• ▍Operating income +81,2% YoY
• ▍Net income +277,8% YoY
• ▍Free cash flow +309,4% YoY
• ▍Net margin 4.8%