Vitacost.com (NASDAQ:VITC) is an eCommerce retailer in the vitamin, dietary supplement and nutrition market. As I discussed in my Top Idea narrative in February, I continue to believe Vitacost is meaningfully undervalued at its current price and still represents an event-driven investment idea as Vitacost explores strategic alternatives.
Good Quarter, Tough Comps
Vitacost reported record revenue results in Q1, with revenue eclipsing a $100 million quarterly run rate for the first time in Vitacost's history. However, Vitacost has yet to reach the scale needed to achieve GAAP profitability, a situation that prompted major shareholders to call for a sale of Vitacost to a better capitalized buyer. Like other shareholders, I think the lack of GAAP profitability is causing...
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