Hi $GUNS folks, some of us have been around the family for a long time, and I can say with confidence that I have a few pointers to share. we are finally seeing a reversal of the share price since it has been lagging since 2nd week of June. Many folks have held on for good reason
If you're new to $GNUS, this stock was trending $.50 in May. And everything started to come together end of May and June this year. What was the catalysts? I'll try to break it down as much as I can. But first, History of Andy, our famous CEO of GNUS.
Quick: He created Inspector Gadget and various other ones throughout most of his adult life. He sold off many of his work to $DIS early on, then started GNUS. He's well connected with various celebrities like Shaq, LeBron, and loves the Lakers.
In June, they brought on 2 EX Disney executives: These two folks lead Disney through various acquisitions in the past and they are heavyweights in the industry. $GNUS
Prior to this announcement, Andy and IR dept was very very out spoken about having patience, etc. I've included a few IR responses here: You can see, something BIG was happening.
A few specs went around the internet fueling the hype around the stock. Disney buyout would make sense! Why not? Andy is deep in with Disney and have two of their execs. Then, in one of his PR, he says "we are netflix for kids" which stoked another spec that Netflix and Disney
Might be in a bidding war for Kartoon Channel as soon as it launches. Once this launches it'll come with sub fees, ad revenue, and distribution of toys with Mattel. This was already in place prior to launch.
And of course, it's no fun until Shorts show up. Hit pieces from Hidenburg, Citron, etc. and many people mis-reading offerings, tanked this stock from $11s to $5s, to where we are today. See this image. THIS TITLE article killed the stock. Can you believe it?
After a CRAZY 1st Week of June, the stock couldn't make a come back. The Kartoon Channel launched and investors went silent. Andy couldn't get people excited about it anymore. Bad offerings, Mis Read offerings, 2 hit pieces which Andy is litigating as we speak.
Well, here we are today. "New key developments" on Monday 10am EST conference call. I am expecting VERY good news. He didn't have a conference call on launch of Kartoon. this has to be big.
Here's what I am expecting to see Monday: Partnership with Shaq or Lebron James. 2. Merger potentially with $CIDM 3. More big name investors coming on board.
Keep in mind, the company DOES NOT NEED MORE cash and they are sufficient and will not do an offering. See PR:
Lastly, I am expecting this stock will go parabolic monday. Multi Day Runner. It's going to shoot to 7s, 8s, 9s. I've seen it happen and I believe it'll happen again. This company IS ABSOLUTELY UNDERVALUED even at current SP.
You can follow @iamjohnchang.
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