Lake Street: Name Change At ValueVision Media Will 'Revolutionize' TV Shopping

ValueVision Media Inc's (NASDAQ: VVTV) new leadership team is engineering a turnaround for the 24/7 TV shopping company, an analyst said Tuesday.

ValueVision, down nearly 15 percent year to date, gained 7.5 Tuesday to $6.00 per share.

Minneapolis-based ValueVision posted in-line third-quarter results Tuesday and announced a rebranding strategy, with plans to change its name to Evine.

Lake Street's Mark Argento said the name change will "revolutionize the shop-at-home" model, although the heads have already rolled.

ValueVision lost a proxy battle in June with activist shareholder Clinton Group Inc., which installed Chief Executive Mark C. Bozek along with Robert Rosenblatt as chairman.

Bozek previously served as CEO of the far larger competitor HSN Inc. during four years ended in 2003.

"The new leadership team is not going to perpetuate the status quo," according to Argento, who reiterated a Buy rating and $9 target. "They've hit the ground running."

Earlier Tuesday the company posted third-quarter sales growth of 7 percent to $157.1 million, while its net loss narrowed to $800,000, from $1.2 million a year earlier.

Excluding "executive transition costs" of $2.4 million, adjusted profits were $0.03 per share.

The company also continues a shift in emphasis to apparel and cosmetics, from jewelry and hard goods, and has plans to launch a proprietary brand.