DWA struggled to stay above 16 for so long, then came the flop of the Guardians, then came layoffs. Miraculously some stud upgraded after all of that. Does that make any sense? Sounds to me someone was trying to get out in conjuntion to releasing of Croods. Croods is pretty good, it will make some money for the company but that is not good enough to save the company from negative profit margins. The turtle in the race track relesing this summer will be a flop too, along with many high profile movies like superman. Then there is nothing for the rest of the year. This is prime time to get out before it's too late.
I am targeting price of $12-14 by this summer after the releasing of the turtle on race tracks..
This stock is targetted by the shorts with near to 305 short position. A franchise like DWA should be trading far higher multiples on trough earnings somewhere around $ 25 is the fair price of this business with existing fundamentals. Croods is a super hit and will increase profit estiamtes soon. Wait and watch. The short is a short target but on the opposite side it has strong institutional and insiders holding it. So shorts will cave soon.
what fundamentals? DWA is losing money each quarter. 2013, The Croods is the only movie that may actually profit. What's gonna happen after they release another flop this summer? The turtle on the race track. There isn't another movie til March 2014, ......long droughts.
The only thing that held this stock up was the Croods; the big boys knew it an they started pumping even before release date. But they also started selling, notice that even a week before the relese, they felt it was a big risk to even pump above 19. Instead they saw 19 as an opportunity to sell; they will continue to sell. This is dead money til at least summer of 2014. After July, more than half a year of no movie release will be disasterous for the company. Hence, I expect the dumping to begin now.