RPM Capital Partners Acquires 535,850 Shares of StubHub Holdings for $7.25 Million
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Source: Fool
- New Investment Position: RPM Capital Partners disclosed a new position in StubHub Holdings by acquiring 535,850 shares worth $7.25 million, indicating confidence in the company's future market potential despite a 35% drop from its IPO price.
- Asset Allocation Insight: This acquisition positions StubHub at 6.36% of RPM's reported U.S. equity assets, reflecting the firm's willingness to take on risk while focusing on underlying market fundamentals post-IPO cycle.
- Financial Performance Highlights: StubHub reported $2.4 billion in gross merchandise sales for the latest quarter, an 11% year-over-year increase, with revenue of $468 million, up 8%, showcasing strong performance and stable operational momentum in the secondary ticketing market.
- Leverage Improvement: StubHub's net leverage fell to 3.9 times adjusted EBITDA after a $750 million debt reduction, significantly enhancing the company's financial flexibility and laying a solid foundation for future growth.
Analyst Views on STUB
Wall Street analysts forecast STUB stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for STUB is 24.18 USD with a low forecast of 16.00 USD and a high forecast of 45.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
13 Analyst Rating
9 Buy
4 Hold
0 Sell
Moderate Buy
Current: 13.650
Low
16.00
Averages
24.18
High
45.00
Current: 13.650
Low
16.00
Averages
24.18
High
45.00
About STUB
StubHub Holdings, Inc. operates a global secondary ticketing marketplace for live events. It connects fans around the world with sellers who use its marketplace to reach fans and price tickets efficiently. It operates its global ticketing marketplace through two brands: StubHub in North America and viagogo internationally. Its marketplace enables sellers of all types, including individual fans, professional sellers and content rights holders. Its technology is built to handle events regardless of their size, location, category or venue and includes end-to-end workflows and services that streamline the purchase and sale experience for buyers and sellers. It leverages its centralized technology and operations to reach buyers and sellers across the globe, supporting 33 languages and accepting payments in 48 currencies. Its marketplace is built to offer global distribution anywhere there is demand for live events. It offers data intelligence to optimize outcomes for buyers and sellers.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
