Replies to post #8188 on Genius Brands International Inc (GNUS)

[rickn23]

3 Stocks to Avoid This Week
A small media company, a giant cruise line operator, and an airport-tethered wellness chain seem pretty vulnerable this week.

https://www.fool.com/investing/2020/07/05/3-stocks-to-avoid-this-week.aspx

Rick Munarriz
(TMFBreakerRick)
Jul 5, 2020 at 7:30AM

I see Genius Brands (NASDAQ:GNUS), Carnival Corp. (NYSE:CCL), and XpresSpa (NASDAQ:XSPA) as vulnerable investments in the near term. Let's see why I think these are three stocks to avoid this week.

Genius Brands

Everybody wants to be a genius, but figuring out what was an unsustainable spike in Genius Brands stock last month isn't rocket science. A thin float for a tiny media company can swing wildly as it announces new streaming and product deals, and that's what briefly catapulted this penny stock into the double digits in early June.

The stock surged again on Thursday -- soaring 54% on the final trading day of the week -- after Genius Brands announced that it would host a conference call to discuss an "exciting business development" on Monday morning. Genius Brands may very well have some "exciting" news to unveil a half-hour into the trading day, but we all know how the "buy on the rumor, sell on the news" trading mindset plays out. In a highly competitive world for kid-oriented content, even a star-studded project is a long shot to recoup its costs.