Big Volume todaybecasue of Stephen Takacsy comments....2 of his 3 past picks (NLN was one of them) were bought out at large premium, and he says NLN will be bought out too. comments below:
NEULION (NLN.TO)
- Core holding since early 2014.
- U.S.-based leading technology company enabling video streaming of live and on-demand sports content and TV Everywhere over Internet-connected devices.
- Agreements with sports teams, broadcasters, video/cable distributors.
- Revenues based on usage and subscribers revenue sharing.
- Stock was hit hard in 2015 when NHL sold its U.S. digital broadcast rights to MLB, who uses their own technology platform. Since then, NHL has had problems with MBL and has been paying NeuLion to help them out.
- Meanwhile, NeuLion has renewed contracts with NFL and NBA, and has been growing internationally, for example with Univison (largest Spanish broadcaster) and English Football League.
- Disney recently paid $1 billion for 33 per cent of MLB Advanced Media, a huge valuation multiple. We expect NeuLion to be acquired eventually at a much higher valuation than it is trading at today.
- NeuLion has no debt and plenty of cash (US$60 million+) and is aggressively buying back shares.
- Then: $0.77
- Now: $1.00
- Return: +29.87%
- TR: +29.87%