Finance

FALL AND RISE OF GNUS

Genius Brands International, Inc. is a United States-based brand management company. It is known for its familiar name “GNUS”. The Company has been providing entertaining and enriching content and products with a purpose for children to teens. The Company also produced original content and licenses to the rights to that content among vast partners.

Its licenses include companies to which the audio-visual rights are being licensed for exhibition in different formats, such as Pay Television, Broadcast Television, video on demand, subscription to particular channels or video providers in the form of digital video discs/compact discs and to the companies that develop and distribute products based on its content within different product categories which include mostly toys, electronics, publishing houses, home essentials, stationery products, and gifts. The Company also owns a portfolio of original children’s entertainment that is specifically targeted to children and to teens, these include Baby Genius, Warren Buffett’s Secret Millionaires Club.

Why did the stocks fall?

The shares of  NASDAQ: GNUS at https://www.webull.com/quote/nasdaq-gnuscontinue their fall from high places in the recent past that were followed by the massive run-up that may start anytime soon. The stock is down by 5% in the trades of June. Investors who got hyped up on a number of operational developments to the children’s entertainment company which caused the stock to surge 2,400% in the span of a month that topped totally out at nearly $12 a share before even beginning its descent. Genius Brands stock now trades at almost nearly the level at which it began the month of June. Analysts who were not particularly developing an admiration for these prospects of Genius Brands or for any of its marketing deals that are not anywhere withstanding according to the media had stocks only worth at best just at $1.50 per share.

How the stocks soared again?

After literally losing more than 20% of their value as on 11th June, shares of GNUS have a rebound on the 12th of June. By the close of trading, Genius Brands’ stock was up at 20.6%. Even as they once again take a nice victory lap, there remain just many good reasons to sell the Genius Brands’ stock as there are to buy them. The company is deemed to be unprofitable and doesn’t have much revenue yet to speak of. And it hasn’t yet disclosed the economics of its much-hyped Cartoon Channel! So it’s difficult for investors to judge just how much of an impact it can have on the company’s future profits.  You can do stock trading from commission free trading app. Disclaimer: The analysis information is for reference only and does not constitute an investment recommendation.

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