Lions Gate Entertainment Corp (LGF.B)

[starbuxsux]

Maybe some $DWA investor money will find its way here?

DreamWorks stock slumps 13%, analysts adopt cautious tone

9:02 AM ET 1/23/15 | MarketWatch

Shares of DreamWorks Animation (DWA) fell close to 13% in pre-market trade Friday as investors reacted to a new strategic plan that calls for the slicing of 500 jobs, or 18% of its workforce, and the scaling back of original filmmaking. Analysts issued a wave of negative notes on the stock Friday morning in reaction to the news. The stock was cut to sell from neutral at Janney Capital Markets, and BTIG Research reiterated its sell rating. Sterne Agee said the company was "more likely than not" to lose money despite the restructuring due to the imbalance between costs and the declining revenue opportunity per film as DreamWorks lowers production to just two films, from three previously, per year. B. Riley, which maintained a neutral rating on the stock, said that while the restructuring was the right move, it may be at least 12 to 18 months before any results begin to materialize.

-Jennifer Booton; 415-439-6400; [e-mail]

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