Yeti Holdings, Inc. Consumer IPO



Ideal consumers: hunters, chefs, cooks and other food professionals, serial killers who dismember bodies and black market organ salesmen. Does this market equate to going public?




Yeti Coolers: The Wall of Dreams


YETI Holdings, Inc.

Ok my thoughts on this: great product, but easy to replicate. Think GoPro without the electronics.

The items are premium coolers and branded products. Their coolers are at the highest price point for the product in their category. They call this a premium. This is what everyone is banking on, unless they are getting fees on the deal. Despite impressive growth and market penetration, Yeti is only focused on domestic sales and they depend on indepedent retailers to a fault. Upmarket lodging, safari and expeditions need to be targeted, verses assuming they will continue this growth track by charting forward alone.

One thing many are not talking about...Yeti has serious competition. They have competition all around, and while competition is not a bad thing in markets, in this scenario the premium price for coolers does not fly long term. Igloo's upmarket "sportsman" is $199.00 at Sam's Club. What about when Igloo decides to lower margins and the upmarket model is only $75.00? What about the next cooler startup riding the tails of not only Yeti but Igloo and Cabela's?
CAB is fighting back, and offering products very similar to Yeti (Cabela's Polar Cap model). CAB also has a tremendous hold inside Yeti's key consumer market demographic of hunters and fishermen.

Yeti mentions selling branded goods such as hats (they single out "rope hat" in the S-1), clothing and an array of tumblers. A near identical product is made by RTIC but is half the price (see link).

Perhaps a pivot to the middle east needs to be brought up by shareholders. I can see premium coolers being sold in Dubai for twice as much. Maybe ink a deal with Land Rover.

If you are banking on college orders you need to have made a serious ding in the wholesale promo market Pre-IPO, and since that has not occurred yet, I bet it will never occur. As far as stock prices go Yeti could very well be the next GPRO unless the securities are priced correctly at open. Yeti should price at $6.00 a share. Otherwise it will be another GoPro - current price is $13.99 - or Fogo de Chao - current price is $11.55. Both IPOs opened higher and both co's beat the pants of Yeti legacy and product wise, or at least they did in regards to market timing (despite my critique of Fogo as a public company). What about FIT - Fitbit? Yeti @ $6.00 per share is a deal and allows for growth.

Yeti Holdings, Inc. Form S-1

Forward Looking Statements: The risks that could cause these forward looking statements to be inaccurate include but are not limited to:

• our ability to maintain and strengthen our brand and generate and maintain ongoing demand for our products;

• our ability to successfully develop new products;

• our ability to sustain our sales growth rate or profitability;

• our ability to expand into additional consumer markets, and our success in doing so;

• our ability to compete effectively in the outdoor and recreation market and protect our brand;

• problems with, or loss of, our third-party contract manufacturers and suppliers, or an inability to obtain raw materials;

• fluctuations in the cost and availability of raw materials, equipment, labor, and transportation and subsequent manufacturing delays or increased costs;

• our ability to accurately forecast demand for our products and our results of operations;

• our lack of long-term purchase commitments with our independent retailer partners, who account for the majority of our sales;

• the success of our international expansion plans;

• the impact of natural disasters and failures of our information technology on our operations and the operations of our manufacturing partners;

• our ability to attract and retain skilled personnel and senior management, and to maintain the continued efforts of our management and key employees; and

• the impact of our indebtedness on our ability to invest in the ongoing needs of our business.







Igloo: Didn't they make the first consumer beverage cooler?

For better insight see:

Yeti's Form S-1 - https://www.sec.gov/Archives/edgar/data/1670592/000104746916014127/a2229052zs-1.htm