Discovery Communications Inc. (DISCA), Dolby Laboratories, Inc. (DLB): An Entertainment Firm to Discover

DreamWorks figurines with turn to cash

Dreamworks Animation Skg Inc (NASDAQ:DWA) is looking to profit from a newly developed retail segment. I think this move could spell big gains for the company, as its movies are essentially advertisements for toys associated with characters in flicks such as “Shrek,” “Madagascar,” and “The Croods.”

While not every one of DreamWorks’ films are massive hits, there are enough recognizable characters in these movies to justify a retail segment. In fact, the company releases about 5 movies every two years, and that gives Dreamworks Animation Skg Inc (NASDAQ:DWA) a competitive advantage. The retail segment should help increase sales from each of those productions.

Analysts are also believers as they think the company will turn things around this year and generate profits. While the company lost $0.43 per share last year, this year should increase to $0.76 on the plus side. And that’s expected to go up another 33% next year.

This one’s the best

Discovery Communications Inc. (NASDAQ:DISCA) has consistently put out some of the most intriguing content available, and its reality shows are top notch. Furthermore, prospects in the developing world will provide a sturdy backbone over the next 20 years. DreamWorks also entices me with its retail segment, and I doubt Dolby Laboratories, Inc. (NYSE:DLB) will just wither away. These three companies are at the forefront of creativity and placing one in your portfolio might further increase your passion for investing.

Phillip Woolgar has no position in any stocks mentioned. The Motley Fool recommends Dolby Laboratories and DreamWorks Animation. Phillip is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.

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