'The Rise Of Skywalker' may be approaching $1 billion at the worldwide box office, but investors are still deeming it a disappointment. Here's why:
may be approaching $1 billion at the worldwide box office, but investors are still deeming it a disappointment, judging from how theater stocks have headed lower since it opened Dec. 20. And the debacle known as , a $100 million film that has brought in just $38.1 million since Universal opened it that same day, isn't helping matters.
In fact, even in the midst of a streaming-media war that has led to a few million Americans cutting their satellite and cable TV cords , Hollywood stocks did quite well in 2020 — film exhibitors notwithstanding. Netflix's stock, a perennial winner, had a roller-coaster 12 months, as it was down earlier in 2019 before ending the year higher. And with the streaming wars kicking into high gear in 2020, some on Wall Street expect more pain. Needham & Co. analyst Laura Martin on Dec. 10 downgraded Netflix from "hold" to "underperform," "because it has consistently stated it will not have advertising, which we believe will result in U.S. sub losses.
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