Yesterday I ran a story that financial investment company JP Morgan had advised clients that Marvel Entertainment had risen from Neutral to Overweight and should therefore be seen as a stock to Buy.
Indeed, they changed their opinion that the stock would head to $27, to $42 a share. A $15 difference and making it their top pick for investment for the day.
They explained this decision saying “we expect the company to continue to generate high margin revenue from exploitation of its library of characters and surprise the Street to the upside.”
Which admittedly sounds a little like a horoscope rfeading, and in fact that’s almost what it is. But stock rallied from $35 in the morning to $38 after the story broke before settling to $37.50 after people started selling on the back of the rally.
In March, Marvel hit a low of $23. That would have been a very good time to buy…