After the large run up this is a normal pullback when you put it all in perspective. DIvergent made on half the budget of Catching Fire is holding strong and steady and word of mouth growing. Over time this will profit more than Hunger Games series. Mark it.
Additionally, I expect more diversified films for various target audience sectors throughout the global population that will bring in large profits going forward across cross platforms. Remember, 31 Flavors was created and succeeded for a reason. We DO NOT want to become clouded in the fog and lose site of becoming 1 Flavor. Brand. No. I expect we will see more diversified content for all audience goers moving forward. Sectors of population want different genres, film styles, types, etc.
The franchise division should become a different department so they don't lose clear scope and vision of the big picture. Once this is organized I expect the company to get back on track moving toward the 100 pps in due time. I think the unwarranted short and hedge fund attack is ultimately based on Lionsgate being made a joke of because the perception of them trying oh so hard to create these franchise movies.
I would like to see them reorganize into a more organized structure. Until they do so, I fear the stock could head into the teens, but once they show the street they are on the right track and not trying so desperately with these novel to movies narrow sighted approach, then the stock should regain it's solid upward momentum. Until they do that, I would not be surprised at all to see a continued decline. Possibly as low as 17 and worse case scenario, 10, if they don't show they are seriously diversifying and not alienating the sectors of the population that don't want to see these teen movies. Remember, 31 Flavors!
I will be buying up or down regardless. Remember, this is long term investing. But in the long term we will all be dead, so Lionsgate needs to move! Don't alienate the rest of audiences, please!