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Re: likwit post# 1430

Saturday, 12/21/2013 3:46:08 PM

Saturday, December 21, 2013 3:46:08 PM

Post# of 54103
It was made over a year ago but never had a major north american release, even the worst flops of the year bring in $10-20 million dollars. Since Yellow has been 100% paid for already, the proceeds of a box office release could be nearly 100% profit after the distributor and theatre get their take.
http://www.howstuffworks.com/movie-distribution.htm
It's not exactly Hangover part 4 so even if it flops and they get even just 50% of a total flop. That could bring in $5-$10 million for the company. That is 5-10x the stock valuation(@ 65M o/s) plus they still own the rights to the movie. What if it does good in theatres and brings in $35M or $40M, and they end up getting $15M? What if they actually get 75% or more of the total proceeds?
Even if there is a total of 65 million shares out at .0150, that is still less then a million dollar evaluation. The outstanding share count could be lower then that too if I underestimate year end tax selling.
That is my opinion of what may be the case, come to your own conclusions.

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