Shares of Genius Brands International (NASDAQ:GNUS) jumped 10% Tuesday as investors looked ahead to the kids' entertainment company's upcoming announcement at the end of the month.
In his letter to shareholders on March 4, CEO Andy Heyward promised to deliver exciting news related to Genius Brands' deal with Marvel, the comic book-based media titan and subsidiary of Walt Disney (NYSE:DIS). Heyward said the announcement would come no later than March 30.
Marvel owns a vast collection of massively popular characters and storylines, which Disney has turned into a string of blockbuster movies and shows in recent years. Marvel's popularity has also helped drive interest in Disney+. Disney's new streaming service has seen its subscriber count soar to more than 100 million since its launch in November 2019.
Investors are hoping that Genius Brands' collaboration with Marvel will help to fuel the growth of its new Kartoon Channel! streaming network.
Genius Brands' stock price recently received a boost after it announced a deal to produce a new show based on the rapidly growing game development platform, Roblox (NYSE:RBLX). These types of partnerships help to create excitement among prospective viewers, by allowing Genius Brands to piggyback off its partners' loyal fanbase. It's a prudent strategy -- one that could continue to pay dividends for Genius Brands and its shareholders in the months and years ahead.