EVINE Live Inc. (NASDAQ:EVLV) continues to witness more insider buying, which is definitely worth close attention from the investment community. The Insider Monkey team covered the insider transactions of six different insiders at the end of March, as well as discussed the insider purchases of an additional three directors at the beginning of April. What’s more, EVINE Live saw four corporate insiders make purchases this past week, so let’s have a look at the recent insider buying. To begin with, Director Lowell W. Robinson purchased 6,500 shares on Friday at a weighted average cost of $1.17, which lifted his ownership stake to 44,218 shares. Nick Vassallo, Senior Vice President and Corporate Controller, purchased 9,300 shares a day earlier at a weighted average price of $1.21, boosting his holding to 110,730 shares. Moreover, Damon E. Schramm, Senior Vice President, General Counsel and Corporate Secretary, snapped up a 10,000-share block on Friday for $1.2 each, lifting his ownership to 81,375 shares. Last but not least, Director Thomas D. Beers acquired 38,037 shares last Monday at prices that ranged from $1.22 to $1.35 per share, which are held by the Beers Family Trust that currently owns 344,000 shares. Mr. Beers also holds a direct ownership stake of 121,815 shares.
EVINE Live is a digital commerce company that operates a 24-hour television shopping network through which the company offers proprietary, exclusive and name brand products in the following categories: jewelry & watches; home & consumer electronics; beauty; and fashion & accessories. EVINE Live had net sales of $693.31 million in fiscal 2015 that ended January 30, which increased from $674.62 million in fiscal 2014 and $640.49 million in fiscal 2013. The company’s full-time equivalent subscribers, or average homes reached, increased 1% during fiscal 2015, which equates to a 624,000 increase in average homes reached. At the same time, the number of net shipped units grew 9% year-on-year during fiscal 215 to 9.9 million, primarily driven by strong performance from the company’s beauty, and fashion & accessories product categories.
EVINE Live has seen its market value decline 82% in the past 12 month, partially owing to the management’s failure to improve profitability. However, both corporate insiders and shareholders believe the company will embark on a turnaround in the foreseeable future. In a first-quarter letter to investors, Jeffrey Bronchick’s Cove Street Capital LLC, which owns 5.32 million shares of EVINE Live that account for 9.3% of the company’s common stock, said the following about its investment in the company: “While the stock price may indicate otherwise, we do not believe that the value of this company has been permanently impaired; in fact just some basic blocking, tackling and cost cutting should be able to get the company back to generating consistent free cash flow.” A total of 11 hedge funds from our system had stakes in EVINE Live Inc. (NASDAQ:EVLV) at the end of 2015, accumulating approximately 30% of the company’s shares.