PLY – PlaySide Studios
and some comment:
Chris Conway: Hello, and welcome to Livewire’s Buy Hold Sell. My name is Chris Conway, and today we are looking at five microcaps with big ambitions, and some of them may in fact already be leaders in their space. I am joined by Joel Fleming from Yarra Capital Management and Chris Stott from 1851 Capital. Thanks, gents, for being here.
Joel, we’ll stay with you on Playside Studios. These guys make video games for the likes of Disney and Warner. Is it a buy, hold, or sell?
Joel Fleming (HOLD): It’s a hold for me. I really like the industry. I like the split of business, and the people involved. But just like to see some more traction in the business model before becoming more positive.
Chris Conway: Chris, for you? Playside Studios, is it a buy, hold, or sell?
Chris Stott (HOLD): Hold, very similar to Joel. Interesting business. It’s well funded, with $30 million or so of net cash on the balance sheet. You suspect the earnings go backwards this year a little bit as they reinvest back into the business. So again, I’d like to see more runs on the board, as Joel mentioned there. So hold.