All For One Media Corp (AFOM)

[tedpeele]

Short and Long Term Catalysts:

You may be very lucky. I've been here for over 2 years waiting for what appears ready now to unfold. Time will tell, but there's a LOT under the hood here to justify the CEO's belief that the risk/reward is very favorable. Not all is positive, but his post and the ibox provide some much needed perspective regarding the business model and prospects for success. Be sure to check out the links he gave. Here are some key items to strongly consider:



THE FIRST DRAMA DRAMA MOVIE DISTRIBUTION ANNOUNCEMENT APPEARS TO BE IMMINENT:

Brian wrote: "WE EXPECT IN THE COMING WEEKS TO ANNOUNCE SALES OF DRAMA DRAMA (THE MOVIE) ". A few sentences later he wrote: "OUR GOAL AND ULTIMATE SUCCESS IS DEPENDENT ON THE FOLLOWING:
1. RELEASE DRAMA DRAMA THROUGH ONE OF THE MAJOR STREAMING SERVICES. (NETFLIX, AMAZON PRIME, HULU, or DISNEY +)"

The first of multiple distribution announcements is huge news..it kick starts everything, and has been long anticipated. Remember, offers by Showtime, Samuel Goldwyn and Cinedigm were turned down. They wanted this but the CEO knows what it can be worth and what is needed - large dollars, major exposure.



THE VALUATION POTENTIAL OF HIT MOVIES FOR TWEENS IS OFF THE CHARTS:

The High School Musical franchise grossed Disney over $1 BILLION in operating profit in 2006-2007. HSM 3 grossed $252 million: https://fortune.com/2016/03/02/disney-high-school-musical-4/

The Perfect Pitch Franchise has grossed nearly $600 million: https://www.the-numbers.com/movies/franchise/Pitch-Perfect#tab=summary



TWEENS -- EYEBALLS AND RAVE REVIEWS:

J-14 is the premier magazine for Tweens with 7.9 million Facebook followers. They have called the movie 'Epic' and "The Movie of the Century". Hyperbole aside, this bodes well for the success of the movie. Who else knows what tweens like better than they do?

Well, the Tweens themselves know better, of course. And from this video following the J-14 movie screenings last month it appears that tweens definitely do like the movie: https://vimeo.com/369480689

Remember - critics are adults. The market is tweens. High School Musical 1 & 2 didn't even get released in theaters! Organic growth from word of mouth - and now from SOCIAL MEDIA - is a HUGE influence that can make the Drama Drama franchise blow up almost overnight.



STAR POWER:

Cinta Laura has 7 million followers on Instagram. She has a HUGE following in Indonesia, a country with 264 million people - almost as many as in the US. https://www.instagram.com/claurakiehl/ Cinta Laura plays the LEAD ROLE in Drama Drama, as Madison - the head cheerleader.

Ana Golja has 156,000 followers on Instagram. She is one of the 5 girls in the group, and also stars in the popular Netflix movie Full Out. https://www.instagram.com/theanagolja/

Star power brings in eyeballs. Fans of these actors will want to see the movie!



CONVERTIBLE NOTES:

To the CEO's credit, he acknowledged in his update the threat of all of the convertible notes. But the history on those has been very interesting. See below.




VALUATION -- SHORT TERM:

The market cap - the total value placed on the company - is only around $200,000 as I write this. Peanuts.

Consider these catalysts/issues:

1. imminent news about the first distribution - likely by a HOUSEHOLD NAME company like Amazon, Hulu, Netflix, Disney

2. the chart - incredibly oversold. just 15 trading days ago this was at .0098. The stock is down 75% from that!

3. potential for a tween hit suggested/supported by J-14 ("EPIC"), enthusiastic tween reviews, and star power of lead characters.

4. Minimal dilution to date. Despite the notes due, dilution all year has been quite low, and the price drop has been on VERY low dollar volumes. The biggest volume days - like today have been big gainers, not losers. High demand vs low supply = big move. The Cross-trade today reported on the board was for only $5,000!

Given these things above, a mcap of $2 - $5 million seems far more reasonable in the short term than $200,000, and certainly reachable given the current share structure. That's a SHORT TERM 10-20 bagger!



VALUATION -- LONG TERM:

What if J-14 and the tweens are right? What if the CEO turned down offers because he knows this is worth far more? Did you know that he put together the very popular boy band Dream Street in late 1990s -- whose single went Platinum with over 1 million sold, and reached #1 on Billboard Independent Artists? The CEO knows what he is doing. 2 million views of the trailor and 2 million more of the music video..far more likes than not..

What if this becomes a franchise like High School Musical or Pitch Perfect? Rumors of a sequel and trilogy on instagram came out a few months back: https://www.instagram.com/explore/tags/crazyfortheboys2/ Who knows? Our CEO hasn't denied it..

There are tons of potential revenue sources with both a movie AND a girls group --> domestic and International film distribution, video on demand, cable, pay TV and network rights, DVD and Blu-ray, corporate sponsorship, product placement, music publishing, live performance, retail and concert merchandise, music soundtracks, streaming music and videos, third party music licenses, ad driven videos, third party script licenses, spin offs and sequels.

For those who like potential life-changers, this may fit the bill. A $100 or $200 million franchise should just about do it. Nothing is guaranteed of course, and the notes are always something to watch closely, but so is the rollout. Do you feel lucky now?


A note about the notes:
1. They are significant enough to hurt the stock in both the short and long term.
2. There has been dilution over the last 2 years--the float was once under $1m!
3. HOWEVER, the dilution could have been far worse. Most of the notes were renegotiated last fall. Notes due all year in 2019 for $180k appear to never have converted. Another due in May for $250k appears to have not converted. The OS has only gone up 30 million this year so far. It could have gone up far more.

It remains to be seen if more renegotiations occur, or if recent notes due and more coming due cause a lot of dilution. So far the lack of real dilution has been remarkable this year but nothing is guaranteed.




For those that missed it, here is the Drama Drama movie trailer. Channel your inner tween/teen:

This is all my opinion. Be sure do your own DD.