What's your top stock pick for 2012?
This is always one of my favorite discussions to engage in. And the ideas shared are usually quite interesting, and some very profitable.
Some start with a top-down approach to arrive at their picks. Others begin with an even larger macro theme. Still others focus in a particular stock for very company-specific reasons that are unique to just them. Whatever the process looks like, the output is always fascinating reading and invariably leads to other great stock picks as new ideas are exchanged.
So let me get this party started. I usually will do a top-down analysis first to narrow it down to the best sector, then industry, and then company. For this one however, I'm picking it based on very company specific reason.
And my pick is Lion's Gate Entertainment, ticker LGF.
They are in the Movie/TV Production Industry dealing with motion picture production and distribution, television programming and syndication, home entertainment, digital distribution, and more. They currently have a Zacks Rank 2 or Buy, with strong projected growth rates and attractive valautions.
But, it made it to the top of my 'top picks list' because of its story and their potential blockbuster movie coming out in the spring of 2012, called The Hunger Games, which could significantly incresase their bottom line, and stature to attract other blockbuster properties. Hunger Games is a best-selling book series that has been turned into a movie (and likley several more movies if the first one is a hit), and it's expected to be the next Twilight (in terms of franchises -- not vampires). This, along with their ever growinng TV production segment and distribution segment, could make Lions Gate a much larger player in 2012, and fatten the portfolios of its shareholders.
So let's hear it -- what's your favorite stock pick for 2012?
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