AMC has the biggest show
One of the most anticipated participants at the San Diego Comic Con is “The Walking Dead.” The show recently made history as the first cable original series to end as the top ratings getter for a whole season. The show, which airs on AMC Networks Inc (NASDAQ:AMCX), continues to boost the stock.
“The Walking Dead” has turned into a cultural phenomenon. The show continues to be the most watched on television and sees strong ratings in all key advertisement demographics. This bodes well for AMC Networks Inc (NASDAQ:AMCX) as it is able to push for higher subscriber fees as renewals come up. This also allows AMC Networks Inc (NASDAQ:AMCX) Networks to bundle smaller channels like IFC and Sundance to maximize subscription revenue thanks to demand for the show.
Comic Con will be important for AMC Networks Inc (NASDAQ:AMCX) this year. “The Walking Dead” will be a huge draw for fans and will also allow AMC Networks Inc (NASDAQ:AMCX) a chance to show off new showrunner Scott Gimple. Gimple has been a writer since the show began in 2011 and now takes over the storyline. For the second year, AMC Networks Inc (NASDAQ:AMCX) will also help transform the nearby Petco Park into a live obstacle course centered around zombies and scenes from the television show. This will also be the last Comic Con to feature a “Breaking Bad” panel as the show comes to an end this summer.
Recommendation
I have been a Lions Gate shareholder even before “The Hunger Games” hit theaters. I continue to recommend buying shares based on the strength of the franchise and other potential blockbuster series. Comic Con will show just how strong “Ender’s Game” and “Divergent” can be. Shares have had a nice run, but continue to be undervalued based on blockbuster box office revenue coming from three of the biggest young adult franchises.
Shares of Starz represent a nice buying opportunity for investors who believe “The White Queen” or “Black Sails” could be a hit. Investors are essentially buying the movie airing networks and subscription fees with none of the original scripted shows priced in. “The Walking Dead” continues to pull bigger numbers each season. This fact, along with the strength of other shows on the network, should take shares higher by the end of 2013
The article 3 Stocks to Watch at the San Diego Comic Con originally appeared on Fool.com is written by Chris Katje.
Chris Katje owns shares of Lions Gate Entertainment. The Motley Fool recommends AMC Networks. Chris 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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