This is valued like it was a discretionary retailer of buggy whips or SUV maker when it sells movies and books. Movies are actually good moneymakers in recession/depressions. Should be a stable place to invest from here, but there is such a large amount of depreciation and low net income that the PPS may gyrate. That said, the long term moat of the business is solid and the cash flow is strong. Would you pay $100MM for $15MM in dividend checks per year for the next 50 years? I would.... and I think Hastings could possibly deliver these types of shareholder returns so I am long the stock. At $40MM its a no brainer, especially when the stores are so lively, fun, and packed with loyal customers.

Gohastings!