Skip to main content

Market Overview

RedBox Continues Growth Momtentum

Share:

Piper Jaffray recently completed its 20th bi-annual teen survey, a national study of 6,000 teenagers' buying patterns and preferences. It asked high school students
how they currently rent movies and how they expect to rent movies in two years.

40% indicated they currently use kiosks, which is an all-time high from the survey. Renting from retail stores is decreasing in popularity as 59% of teens use stores
today, down from 79% one year ago. With over half of teens still using retail stores, however, Piper believes the potential for further share gains is underestimated.

Redbox, which is owned by Coinstar (NASDAQ: CSTR) is well positioned for continued growth in movierentals. The company participates in one of the alternative rental models (i.e. non-retail rental) and arguably benefits most directly from the retail segment that will likely be down over the next two years.

CSTR closed Tuesday at $43.17

Is AAPL a Buy, Sell or Hold? Click Here.

 

Related Articles (CSTR)

View Comments and Join the Discussion!

Posted-In: Piper JaffrayAnalyst Color Analyst Ratings

Latest Ratings

StockFirmActionPT
IRIXRoth CapitalMaintains9.0
AMRSRoth CapitalMaintains33.0
VORBarclaysInitiates Coverage On56.0
PNMCitigroupDowngrades
UBSFYCitigroupUpgrades
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
SPAC
Everything you need to know about the latest SPAC news.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com