Friday, August 15, 2014

Dreamworks: DWA Is In The Dumps -- Time To Buy?

Every Friday, I scan the movie reviews to see if there is a new film I want to go see. And every week, I fail to find anything that appeals to me.
Many others must feel the same way, seeing as box office receipts are off sharply this year, making this a season of misery for film studios. And no studio is feeling the pain more than Dreamworks Animation SKG (NYSE: DWA), which has slid 25% since I panned the company's business model five months ago.
Shares had already been in freefall and are now off more than 40% this year.

Yet with much of the bad news now priced into the stock, Dreamworks deserves a fresh look. The company is making moves now that should yield solid rewards in a few years.
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