Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, animated-movie maker DreamWorks Animation (Nasdaq: DWA) has earned a respected four-star ranking.
With that in mind, let's take a closer look at DreamWorks' business and see what CAPS investors are saying about the stock right now.
DreamWorks facts
| Headquarters (founded) | Glendale, Calif. (1985) |
| Market Cap | $1.5 billion |
| Industry | Movies and entertainment |
| Trailing-12-Month Revenue | $678.6 million |
| Management | Co-Founder/CEO Jeffrey Katzenberg CFO Lewis Coleman |
| Return on Equity (average, past 3 years) | 9.6% |
| Cash/Debt | $81.2 million / $0 |
| Competitors |
News Corp. Disney Sony Entertainment |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 94% of the 1,182 members who have rated DreamWorks believe the stock will outperform the S&P 500 going forward.
A few months ago, one of those bulls, greedwhenfearful, tapped DreamWorks as a particularly solid bargain opportunity:
Never in the company's history has the stock been so low. Trading at book value ... these are [Warren Buffett] prices. ... My biggest concern is the home entertainment decline and the future of theaters in general. ... With a low valuation, no debt ... I think it's a good time to bet. Can you imagine a world where our children don't watch cartoons? I can't.
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