Reasons to Invest in Lionsgate

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I believe that Lionsgate is a film studio that’s set for some big growth in the next few years, and I wish I had a big bag of money to invest. I have come up with five very good reasosn why i want to invest in Lionsgate. The Hunger Game series: As you’ve probably heard, read, and/or seen by now, there’s a new blockbuster franchise on the block, and in the last ten days it’s already made $362 million. It’s headed easily north of $500 million and probably above $700 million, plus another nine-figure haul on DVD and Blu-ray, not to mention merchandising. The sequel, entitled Catching Fire, is already scheduled for a November 2013 release, and will likely build on the mega-success of the first film. There’s also talk of turning the third and final book in the series into not one but two films. Translation: Lionsgate has a hot property on its hands that’s indeed caught fire and will burn brightly for the next many years. 2. Ender’s Game adaptations: Yet another franchise from the young adult fiction genre is gearing up to hit the big screen. And once again, Lionsgate is at the helm. This one, a sci-fi tale of a future in which kids and young adults are trained by the military for an imminent alien invasion, already has a massive fanbase and will probably be another mega-hit film franchise, at least to the tune of the $500+ million box office range if not more. Like The Hunger Games, this series appeals to male and female audiences, and brings in families and viewers of all ages. 3. The purchase of Summit Entertainment — Lionsgate bought Summit Entertainment, which means Lionsgate now owns all of the properties owned by Summit. Those properties include The Twilight Saga and the Step Up To The Streets franchise. The first is, of course,... ... middle of paper ... ... Games this year, Lionsgate will probably make more from that one film than they made from all of their films last year combined. Think about that for a moment. Then remember the final Twilight film also releases this year, as well as the next Step Up and The Expendables 2. Next year brings another Hunger Games entry, the start of Ender’s Game, Last Stand, The Tomb, and the rebooting of the popular low-budget cult horror franchise The Leprechaun. We can expect to see Lionsgate becoming one of the dominant studios over the course of the next couple of years (they’re already the most successful independent film and TV distribution company in the U.S.), and they’ll keep expanding and adding new properties to their stable of material, for ever-growing profits. And that is why I want to invest in Lionsgate, especially while their stock is still at just under $15 a share.

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