Ticketmaster (TKTM)
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High Cashflow for Market Value
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Little to no overhead. Possible merger with the largest promotion company in the nation. Growing profits every year.
Solid pick.
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I will take the contrarian view here. Sure it is "the" place to go for a ticket, indeed it is virtually the only place to go ... and that is the problem. Even the artists whose concerts are sold by this company don't particularly like it, certainly I have never met a consumer who likes it. It is indeed convenient to go online and get a ticket, of course there is the convenience fee, and if I print it at home using my own ink and paper I get to pay for that privilege. Please! I suspect that discontent with this monster is reaching the spill-over point and something else is going to take their place, maybe not this year but sometime in my lifetime.
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Summer time means Summer Concerts.
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monopolistic company at PE of about 8
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Market On Lock
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Spinoff usually take 6 months to a year to begin working themselves out and realizing their fair value.
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entertainment continues success in a bad economy. And reporting earnings of 23 cents tomorrow doesn't hurt either.
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at 3.79 trailing 12 month p/e. this is oversold. even if they lose 50% of sales to Live Nation, their P/E is still under 10.
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Solid company financially. They just got caught in the market slide while they were still trying to establish themselves as a separate entity. Ticketmaster is has a large market and sour economy or not, consumers dish out an incredible amount of money to see their favorite acts. Buy now and watch your money grow!
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Live Nation doesn't compare financially with Ticketmaster. For instance TKTM makes a profit. Ticketing business is growing with Ticketexchange allowing for people to buy and sell tickets before events similar to stocks or options. TKTM takes the fees off these transacations.
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TKTM robs us all blind every time we buy a ticket to anything! They've got to be making mad cash!!
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If you want to see just about any band, you have to go through Ticketmaster. They charge $15 per ticket for many shows, and they charge you $2.50 just to email you your tickets. It's a monopoly and they abuse their pricing power. I think they'll continue to make a lot of money in the upcoming years - outperform.

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