5 Cheap Stocks To Buy Now

2. Qurate Retail, Inc. (NASDAQ: QRTEA)

Qurate Retail is a media company  engaged in video and e-commerce industries. The company’s subsidiaries include QVC, Inc. Zulily and Home Shopping Network (HSN).  In January, QVC launched YouTube TV streaming service. Through its 1313 broadcast networks, QVC reaches 380 million homes worldwide.

With a $172.99 million stake in QRTEA, FPR Partners owns 15.8 million shares of the company as of the end of the fourth quarter of 2020. Our database shows that 36 hedge funds held stakes in QRTEA as of the end of the fourth quarter, versus 41 funds in the third quarter.

Weitz Partners, in their Q3 2020 investor letter said that they added their position in Qurate Retail, Inc. (NASDAQ: QRTEA) because of the recent improvements in the company. Here is what Weitz Partners has to say about Qurate Retail, Inc. in their Investor Letter:

“The strongest quarterly performance came from Qurate Retail, a more modestly sized holding. Qurate’s home shopping offerings across pay-TV, dot-com and other digital channels were well suited for the current environment, driving a return to sales growth in the second quarter (the first in more than a year). Management also took steps to highlight the company’s resilient cash flow generation, paying a $1.50 cash dividend and distributing new 8% cumulative preferred securities to owners as part of a broader capital structure shuffle. We were encouraged by these announcements and bought additional shares of the common equity, which also allowed us to receive additional preferred shares. As trading in the preferred began, technical pressures led the shares to trade at a significant discount to par, giving us another opportunity to further build our position at attractive prices. In the days that followed, the pressure eased, and shares recovered to trade at a modest discount to par value.”