Wunderlich Securities: Liberty Interactive Corporation Benefits from QVC

According to a research report this morning, Wunderlich Securities remains positive on Liberty Interactive Corporation LINTA as QVC, one of their video and online commerce businesses, appoints Steve Hofmann to the newly created position of QVC Europe in hopes to expand European growth opportunities. Wunderlich Securities explains, “We have done work that estimates free play upside from entering new markets at as much as five points per share, with QVC able to stage its investments without incurring large cash burns - as shown in Italy. (The key elements are discretionary consumer spending and multichannel homes). The March CNR announcement gives QVC access to China with 49% ownership in the CNR Home Shopping Co., Ltd. (CNRS) JV alongside state-controlled partner China National Radio.” LINTA closed Friday at $18.34 as Wunderlich Securities maintains its Buy rating and $25 PT.