1-Up on Wall Street: Why "Guardians of the Galaxy" May Be a Hit, Even by Marvel Standards

Three Fools take to the air to discuss the prospects for the riskiest film bet in Marvel Studios history.

Mar 2, 2014 at 3:30PM

For as much positive reaction as we've seen to the first trailer for Guardians of the Galaxy, the movie still ranks as one of the riskiest in Marvel Studios history. How much does parent Walt Disney (NYSE:DIS) have to lose? Host Ellen Bowman puts the question to analysts Nathan Alderman and Tim Beyers in this week's episode of "1-Up on Wall Street," The Motley Fool's Web show in which we talk about the big-money names behind your favorite movies, toys, video games, comics, and more.

A lack of meaningful comparisons might be troubling to some, Nathan says. Especially since DIsney's most recent attempt at a large-scale space opera (i.e., John Carter) flopped at the box office, resulting in $200 million in studio writedowns. Guardians may not have enough brand equity to avoid a similar fate.

Guardians

Marvel's aggressive marketing promises a space epic that's as pleasing as the superhero films that preceded it. Source: Marvel Studios.

The good news? What Guardians lacks in brand equity, Marvel has in spades. The studio is already tapping that well by marketing the film as from "the studio that brought you Iron Man, Thor, Captain America, The Avengers." So long as the film delivers a similar sensibility -- the sort of action-comedy blend fans have come to love -- Nathan sees the bet paying off.

Tim agrees, noting that Marvel has already spent the better part of a year getting fans engaged with the characters via a new comic book series written by Brian Michael Bendis. The tone of the trailer will feel familiar to readers of the comics, he says.

Meanwhile, the trailer itself appears to have struck a chord with 13.8 million views over the past two weeks. Guardians was also a social media hit with more than 88,000 mentions in the first 12 hours of release, noticeably more than the 75,000 Man of Steel achieved in its first 24 hours on the Internet. Billboard also reports a big increase in sales of Blue Swede's 1974 hit, "Hooked on a Feeling," which provided backing for the trailer. Add it up, Tim says, and there's every reason to believe Guardians has the potential to be a Marvel-sized winner.

Now it's your turn to weigh in using the comments box below. Do you expect Guardians of the Galaxy to be a hit? Please watch the video as Ellen puts Tim and Nathan on the spot, and be sure to check back here often for more "1-Up on Wall Street" segments.

Get Hollywood to pay you
The beauty of investing in entertainment stocks is that the studios pay you to enjoy the things you love. Yet not every bet pays out as well as it might. Take cable providers. Despite efforts to become more like studios -- offering original content -- there's little doubt that the model you've known is going away, leaving a $2.2 trillion vacuum that a handful of companies are battling to control. Who wins? Our analysts favor three businesses. Click here for their names. Hint: They're not Netflix, Google, and Apple.

Ellen Bowman has no position in any stocks mentioned. Nathan Alderman owns shares of Apple. Tim Beyers owns shares of Apple, Google, Netflix, and Walt Disney. The Motley Fool recommends and owns shares of Apple, Google, Netflix, and Walt Disney. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Money to your ears - A great FREE investing resource for you

The best way to get your regular dose of market and money insights is our suite of free podcasts ... what we like to think of as “binge-worthy finance.”

Feb 1, 2016 at 5:03PM

Whether we're in the midst of earnings season or riding out the market's lulls, you want to know the best strategies for your money.

And you'll want to go beyond the hype of screaming TV personalities, fear-mongering ads, and "analysis" from people who might have your email address ... but no track record of success.

In short, you want a voice of reason you can count on.

A 2015 Business Insider article titled, "11 websites to bookmark if you want to get rich," rated The Motley Fool as the #1 place online to get smarter about investing.

And one of the easiest, most enjoyable, most valuable ways to get your regular dose of market and money insights is our suite of free podcasts ... what we like to think of as "binge-worthy finance."

Whether you make it part of your daily commute or you save up and listen to a handful of episodes for your 50-mile bike rides or long soaks in a bubble bath (or both!), the podcasts make sense of your money.

And unlike so many who want to make the subjects of personal finance and investing complicated and scary, our podcasts are clear, insightful, and (yes, it's true) fun.

Our free suite of podcasts

Motley Fool Money features a team of our analysts discussing the week's top business and investing stories, interviews, and an inside look at the stocks on our radar. The show is also heard weekly on dozens of radio stations across the country.

The hosts of Motley Fool Answers challenge the conventional wisdom on life's biggest financial issues to reveal what you really need to know to make smart money moves.

David Gardner, co-founder of The Motley Fool, is among the most respected and trusted sources on investing. And he's the host of Rule Breaker Investing, in which he shares his insights into today's most innovative and disruptive companies ... and how to profit from them.

Market Foolery is our daily look at stocks in the news, as well as the top business and investing stories.

And Industry Focus offers a deeper dive into a specific industry and the stories making headlines. Healthcare, technology, energy, consumer goods, and other industries take turns in the spotlight.

They're all informative, entertaining, and eminently listenable. Rule Breaker Investing and Answers are timeless, so it's worth going back to and listening from the very start; the other three are focused more on today's events, so listen to the most recent first.

All are available for free at www.fool.com/podcasts.

If you're looking for a friendly voice ... with great advice on how to make the most of your money ... from a business with a lengthy track record of success ... in clear, compelling language ... I encourage you to give a listen to our free podcasts.

Head to www.fool.com/podcasts, give them a spin, and you can subscribe there (at iTunes, Stitcher, or our other partners) if you want to receive them regularly.

It's money to your ears.

 


Compare Brokers