Topeka Downgrades DreamWorks Animation To Sell For The Second Time This Year

Loading...
Loading...
David Miller of Topeka Capital Markets downgraded shares of
DreamWorks AnimationDWA
to Sell from Hold with a price target lowered to $17 from a previous $23. Miller previously downgraded shares to Sell from Hold on April 25 before upgrading shares back to Hold in May. According to Miller, a $17 price target is the equivalent of the company's tangible book value, which is justified as the analyst expects a partial-write down on
Penguins of Madagascar.
Miller notes that
Penguins
sophomore weekend box office revenue dropped a “precipitous” 56.4 percent compared to last weekend's $25.4 million sales. As such, the analyst sees a global theatrical ultimate of $370 million being “unrealistic.” Miller believes that
Penguins
may see only $230 million in global box office sales, and, in tandem, expects a $37.0 million partial write-down on the film.
Posted In: NewsDavid Millerdreamworks animationPenguins of MadagascarTopeka Capital
Benzinga simplifies 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...