Discovery (DISCA) Offering Possible 11.11% Return Over the Next 21 Calendar Days

Discovery's most recent trend suggests a bearish bias. One trading opportunity on Discovery is a Bear Call Spread using a strike $32.50 short call and a strike $37.50 long call offers a potential 11.11% return on risk over the next 21 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $32.50 by expiration. The full premium credit of $0.50 would be kept by the premium seller. The risk of $4.50 would be incurred if the stock rose above the $37.50 long call strike price.

The 5-day moving average is moving down which suggests that the short-term momentum for Discovery is bearish and the probability of a decline in share price is higher if the stock starts trending.

The 20-day moving average is moving down which suggests that the medium-term momentum for Discovery is bearish.

The RSI indicator is at 28.31 level which suggests that the stock is neither overbought nor oversold at this time.

To learn how to execute such a strategy while accounting for risk and reward in the context of smart portfolio management, and see how to trade live with a successful professional trader, view more here

LATEST NEWS for Discovery

Corporate Video Content is King – But It Needs a Home: Join June 10 Fireside Chat with Issuer Pixel CEO to Discuss How It’s Changing Video Search to Build the Next Unicorn
Wed, 26 May 2021 22:00:49 +0000
There is no doubt that corporations have embraced video as a powerful medium for communicating with investors and other stakeholders. The trouble is, the very people who should see the content often fail to find it. Hear from David N. Baker, the CEO, Co-Founder and Chief Product Architect of Issuer Pixel, a global, searchable, enterprise […]

Amazon Agrees to Buy MGM Film Studio for $8.45 Billion
Wed, 26 May 2021 18:51:25 +0000
(Bloomberg) — Amazon.com Inc. agreed to buy the Metro-Goldwyn-Mayer movie company for $8.45 billion, a bet that a nearly century-old Hollywood icon can feed an insatiable demand for streaming content.The proliferation of streaming services, including newer arrivals such as HBO Max and Disney+, has put pressure on Amazon to acquire more programming. Chief Executive Officer Jeff Bezos has made no secret of his desire for movie moguldom, and MGM’s vast backlog provides an abundance of streaming material, not to mention an opportunity to mine the iconic James Bond and Rocky franchises for new films and television shows.Moreover, with retail rivals like Walmart Inc. rolling out more sophisticated online stores, Amazon must work even harder to keep its 200 million Prime subscribers loyal.“This jump-starts them by 50 years,” said Michael Pachter, an analyst with Wedbush Securities. “That’s really what it comes down to. They weren’t going to be able to produce enough content to ever get close to Netflix.”Pachter said that Amazon’s studios produce a few hundred hours worth of television shows and movies a year. MGM adds a back catalog of 25,000 hours that Amazon could divvy up between its Prime Video offering, or its free-to-stream, ad-supported IMDb TV.Amazon shares were up less than 1% Wednesday morning in New York.The takeover is Amazon’s biggest acquisition since it agreed to buy Whole Foods in 2017 for $13.7 billion but follows investments of about $11 billion on content for its streaming video and music services last year alone. Mike Hopkins, senior vice president of Prime Video and Amazon Studios, in a statement pointed to MGM’s “deep catalog” as justification for the purchase.MGM has been seen as a takeover target for years, but was never able to close a sale before. The company made a fresh push last year when it tapped advisers to seek offers.Previously, Amazon has acquired smaller startups it perceived as a threat — footwear seller Zappos, say, or Diapers.com parent Quidsi. Amazon also has snatched up-and-comers in new business lines, such as the game platform Twitch or Kiva, which makes warehouse robots.It’s unusual for Bezos to spend big bucks on a legacy business like MGM. The only other example is the purchase of Whole Foods Market in 2017, which came after Amazon spent a decade trying to become a player in grocery sales — with little to show for its efforts and investment. Today, some analysts deem the Whole Foods acquisition wrong-headed and point to the fact that Amazon has since started a rival grocery chain.Bumpy EraFor MGM, the studio that brought James Bond and Scarlett O’Hara to the big screen, the deal provides a finale to a bumpy era of hedge-fund ownership that began with a bankruptcy over a decade ago. MGM’s lead shareholder is the Anchorage Capital Group LLC, which became an owner with other investors as part of a 2010 bankruptcy agreement that erased about $4 billion in debt.MGM’s earnings before interest, taxes, depreciation and amortization rose 48% to about $307 million last year, lifted by profit from its 4,000-title film library. But with a lack of new releases, sales declined 3% to $1.5 billion.Under Anchorage, the studio aspired to its old glory — a legacy that includes “Gone With the Wind,” the top film of all time in ticket sales, and the biblical classic “Ben-Hur,” which shares the record for most Academy Awards at 11.The new owners hired a moviemaker CEO in Gary Barber, a Hollywood heavyweight known for films such as “The Hitchhiker’s Guide to the Galaxy” and “Ace Ventura: Pet Detective.” He oversaw a new James Bond movie, “Skyfall,” that generated more than $1 billion in ticket sales — the studio’s biggest-grossing film ever — and partnered with Warner Bros. on the blockbuster “Hobbit” films.MGM also branched out into television. The studio took control of the premium cable network Epix, and acquired the TV production company owned by famed producer Mark Burnett, known for creating “Survivor” and “The Apprentice.” The studio also created the critically acclaimed series “The Handmaid’s Tale” and “Fargo,” adding to a lucrative library.Hedge funds rarely hang on to such investments for more than a few years, and observers long thought that Barber was prepping the studio for sale. In 2017, reports suggested that MGM was in discussions with a Chinese company, though no deal materialized.Behind the studio’s renewed financial stability under Anchorage and the M&A rumors, there was turmoil within MGM’s executive ranks. Five months after Barber’s contract was renewed in 2018, he was abruptly fired by Anchorage CEO Kevin Ulrich. Reports surfaced that the two had clashed, and that Barber’s relationship with Bond producer Barbara Broccoli was also tense.Barber ultimately walked away with a $260 million exit package. Ulrich never named a replacement for Barber, and instead created an office of the CEO, which has been in place for three years. The unusual arrangement led the Hollywood Reporter to say Burnett was sowing chaos within the company. He was said to have, at least in part, led to the ouster of film studio head Jonathan Glickman in early 2020, among other executives.Postponed BondWhen the coronavirus struck, MGM was particularly hamstrung. Its biggest anticipated film release, the new James Bond film “No Time to Die,” has been postponed repeatedly. The company approached both Apple Inc. and Netflix Inc. about buying the film for their online services, but never reached a deal.While coping with the prospect of production delays and higher costs due to Covid-19, MGM suffered another blow. In a June 2020 lawsuit in New York, a woman accused Ulrich of sexual battery in a swanky Manhattan hotel in June 2019. The case was ultimately withdrawn.Late last year, MGM reportedly hired advisers to explore a sale of the company. The studio was said to seek about $5 billion, compared with the more than $8 billion that Ulrich predicted the company could fetch given time.LionTree LLC and Morgan Stanley advised MGM on the transaction. Amazon didn’t use bankers, and the corporate development team was involved.Metro-Goldwyn-Mayer traces its roots back to the 1920s merger of Marcus Loew’s Metro films with a film company run by Hollywood legend Louis B. Mayer. The studio, while making great pictures like “Dr. Zhivago” and “2001: A Space Odyssey,” drifted in and out of financial distress in the second half of the 20th century. Over the decades it was owned by Time Inc., CNN founder Ted Turner and more than once by the late billionaire Kirk Kerkorian.Turner kept much of MGM’s library, which is now owned by AT&T Inc.’s WarnerMedia, soon to be part of Discovery Inc.“I am very proud that MGM’s Lion, which has long evoked the Golden Age of Hollywood, will continue its storied history, and the idea born from the creation of United Artists lives on in a way the founders originally intended, driven by the talent and their vision,” said Anchorage’s Ulrich, who is chairman of the board of MGM. “The opportunity to align MGM’s storied history with Amazon is an inspiring combination.”(Updates with advisers in fourth-to-last paragraph.)More stories like this are available on bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.

Lifshitz Law Firm, P.C. Announces Investigation of DISCA, INSW, MMAC, and GRA
Tue, 25 May 2021 18:22:00 +0000
NEW YORK, May 25, 2021 (GLOBE NEWSWIRE) — Discover, Inc. (NASDAQGS: DISCA) Lifshitz Law Firm, P.C. announces investigation into possible breach of fiduciary duties in connection with the merger of DISCA with AT&T Inc. If you are an investor, and would like information about our investigation, please complete the Information Request Form or contact Joshua Lifshitz, Esq. by telephone at (516)493-9780 or e-mail at info@jlclasslaw.com. International Seaways, Inc. (NYSE: INSW) Lifshitz Law Firm, P.C. announces investigation into possible breach of fiduciary duties in connection with the merger of DSSI and INSW. If you are an investor, and would like information about our investigation, please complete the Information Request Form or contact Joshua Lifshitz, Esq. by telephone at (516)493-9780 or e-mail at info@jlclasslaw.com. MMA Capital Holdings, Inc. (NASDAQGS: MMAC) Lifshitz Law Firm, P.C. announces investigation into possible breach of fiduciary duties in connection with the sale of MMAC to an affiliate of Fundamental Advisors LP for $27.77 per share of MMAC owned. If you are an investor, and would like information about our investigation, please complete the Information Request Form or contact Joshua Lifshitz, Esq. by telephone at (516)493-9780 or e-mail at info@jlclasslaw.com. W. R. Grace & Co. (NYSE: GRA) Lifshitz Law Firm, P.C. announces investigation into possible breach of fiduciary duties in connection with its sale to Standard Industries Holding Inc. If you are an investor, and would like information about our investigation, please complete the Information Request Form or contact Joshua Lifshitz, Esq. by telephone at (516)493-9780 or e-mail at info@jlclasslaw.com. ATTORNEY ADVERTISING.© 2021 Lifshitz Law Firm, P.C. The law firm responsible for this advertisement is Lifshitz Law Firm, P.C., 1190 Broadway, Hewlett, New York 11557, Tel: (516)493-9780. Prior results do not guarantee or predict a similar outcome with respect to any future matter. Contact: Joshua M. Lifshitz, Esq. Lifshitz Law Firm, P.C.Phone: 516-493-9780Facsimile: 516-280-7376Email: jml@jlclasslaw.com

Why Amazon-MGM deal is a sign of streaming competition: ‘Some will go out of business'
Tue, 25 May 2021 16:45:05 +0000
Amazon's purchase of Hollywood studio MGM is good news for the tech giant, and may shake up the streaming industry.

SHAREHOLDER INVESTIGATION: Halper Sadeh LLP Investigates FOE, MX, DISCA, MLND; Shareholders are Encouraged to Contact the Firm
Tue, 25 May 2021 16:30:00 +0000
NEW YORK, NY / ACCESSWIRE / May 25, 2021 / Halper Sadeh LLP, a global investor rights law firm, announces it is investigating the following companies:Ferro Corporation (NYSE:FOE) concerning potential violations of the federal securities laws and/or breaches of fiduciary duties relating to its sale to Prince International Corporation for $22. If you are a Ferro shareholder, click here to learn more about your rights and options.

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