DreamWorks Animation shares are at a 52-week low following Wall Street analyst B. Riley’s Eric Wold’s decision to abandon his “buy” recommendation.
DreamWorks Animation shares are at a 52-week low, according to a report by Deadline.
The stock was down about 1 percent early Monday afternoon trading after taking a hit early in the morning following Wall Street Analyst B. Riley’s Eric Wold’s decision to abandon his “buy” recommendation.
The stock dipped to $21.90, a 12-month low, after the analyst dropped his price target nearly 22 percent to $25. Wold acknowledged that his upgrade in March, when the stock value was 23 percent higher, “proved to be ill-timed and premature.”
Wold calls the box office for How to Train Your Dragon 2 “disappointing” which “may turn DWA into a ‘show me’ stock and keep a ceiling on valuations until more consistent box office results develop.”
The good news is that Wold still likes DWA’s plans to diversify and expand its TV production, and also says that Dragon 2 shouldn’t require a write-down.
Jennifer Wolfe is Director of News & Content at Animation World Network.