Citron On Genius Brands: 'The Lowest Form Of Retail Investor'

Loading...
Loading...

Genius Brands International Inc. GNUS surged more than 2,850% since May on news of operational improvements and investments.

The children’s entertainment company announced early last month it would merge its “Kid Genius Cartoon Channel” and “Baby Genius TV” into a digital network. CEO Andy Heyward called it a free “Netflix for kids” and, in an appeal to today’s parents, an “economic vaccine for COVID-19.”

The company also announced the debut of a toy line for its “Rainbow Rangers” show.

See Also: Why Genius Brands Is On A Massive Rally, Adding Nearly 2500% Value In A Month

To Citron Research, the developments didn’t warrant the dramatic price surge. Citron’s Andrew Left predicted a plunge “to $1...fast.”

“The lowest form of retail investor,” the short-seller and activist investor said in a tweet.

By Citron's calculations, Genius Brands can’t hold a candle to rival WildBrain. In the last 12 months, Genius Brands recorded $5 million in revenue and an $800 billion market cap compared to WildBrain’s $332 million in revenue and $175 million market cap.

“[J]ust got corrected…$2 BIL mkt cap for $GNUS,” Left said shortly after his first tweet. “What a complete joke. Cheap stock about to flood the market. This is child's play.”

Genius Brands traded down 40% to $4.65 per share, sporting a $455 million market cap at the time of publication.

Photo snippet courtesy of Nick Jr./Rainbow Rangers.

Loading...
Loading...
date
ticker
name
Price Target
Upside/Downside
Recommendation
Firm
Posted In: Analyst ColorShort SellersShort IdeasAnalyst RatingsTrading IdeasAndrew LeftCitron ResearchWildBrain
We simplify the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!

Loading...