- LivePerson is operating in a highly competitive, commoditized industry. Its direct competitors are bigger, and manage to grow faster.
- The company has shown minimal profitability during 14 years of operations. Lately, due to increased competition, its margins remain under pressure and share price is declining in line with EBITDA.
- It is very hard to argue for any further upside when LivePerson is already trading at 2.7x of 2014 sales and is forecasted to make a loss again in 2014.