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CRSR: the sleeping giant, round two

BULLISH by u/relam10 | Aug 31, 2021 | 2292↑ 531 comments | 31 views | VIEW ON REDDIT
$CRSR
$CRSR CORSAIR GAMING, INC. TECHNOLOGY EQUITY SIMULATION
$9.67
+0.42 (+4.54%)
LAST PRICE ยท 15 MIN DELAY
DAY CHG +4.54%
5D CHG +11.15%
30D CHG +22.25%
AI SUMMARY โ€” Corsair (CRSR) is positioned as a diversified gaming holding company beyond just RGB peripherals, with aggressive expansion through acquisitions (Elgato, Origin, ScuffGaming, etc.) and strong growth in high-margin content creator segment. Key risks include elevated shipping costs from China inflation, ongoing chip shortages affecting RAM/power supply production, and execution risk on maintaining growth momentum across 26 product categories.
TICKERCRSR USERu/relam10
RATING BULLISH ENTRY $28.31
POSITION 353 sh SYN BOOK VAL $9993.43
CURRENT $9.67 P&L % -65.84%
CURR VAL $3413.51 P&L $ -6579.92

Yesterday it gained popularity again thanks to a new reddit post and is currently in the top 3 trends:

https://preview.redd.it/p33hk6ilhnk71.png?width=1432&format=png&auto=webp&s=046ca3e0a12b67ad135921d8644051cd3a60ebd5

To put some context:

Too many people still think they are RGB and some peripherals (mouse, keyboard and headphones).

Corsair is a video game holding company. They do pretty much everything.

Corsair has acquired several companies the last 3 years: ScuffGaming, Origin, GamersSensei, Elgato, Visuals By Impulse....

All that's left is to enter the mobile gaming world and they will literally dominate the entire gaming market. And seeing their pace of acquisitions, I'm sure they will sooner or later.

The company is focusing lately on the streaming world (elgato, Visuals By Impulse), which as I'm sure you all know, is growing at an unstoppable pace, competing head to head with traditional television. It is only a matter of time before it becomes the most popular way to consume content.

It is also looking to improve its service and subscription revenues (ICUE).

In the last few months alone they have launched 84 products, shipped 33 million around the world and acquired 3 new companies.

https://preview.redd.it/1pfyp61vink71.png?width=1865&format=png&auto=webp&s=551d205ac2be82b9957d72b3122eea1feb340bef

They are expanding very aggressively, and currently sell products in 26 categories:

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https://preview.redd.it/bgivrap5jnk71.png?width=2126&format=png&auto=webp&s=54decbc4db9edf04e461d8c399cb91ec3898fcdd

They have some of the largest communities of all video game brands:

https://preview.redd.it/n5tj29fajnk71.png?width=2153&format=png&auto=webp&s=cd9a8f86b39f82507fcc676535f9c711f21b829f

All of its segments are growing at an astounding rate, but as you can see, the content creators segment is simply incredible. Elgato has a virtual monopoly in the capture, spotlight, streamdeck, green screen and they have just launched a facecam that is getting very good sales.

https://preview.redd.it/3z1m6txgjnk71.png?width=2224&format=png&auto=webp&s=176d3133b42aeaafbca8e71adee6fd8b57e84890

These spectacular results have been achieved at a rather adverse time.

Shipping costs have risen dramatically due to inflation, especially for container shipments from China.

Chip shortages have also been a big problem and, let's not forget, corsair has a leading position in ram memory, power supplies, magnetic levitation fans, RGB... and nowadays it is very expensive to buy a graphics card. Which has prevented many people from building their own computers.

We also come from a period of pandemic, many people thought that its sales were going to plummet, but in spite of all this, it has produced very good results.

TL;DR

https://preview.redd.it/bficnarjknk71.png?width=919&format=png&auto=webp&s=b1f537f44e3f0af2704073175ea1b73c87bc947a

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