The content streaming and entertainment industry is one of the hottest market segments going. Netflix got things started when it launched its content streaming platform, and now there are multiple players vying for consumers’ subscription income. You may never heard of Cinedigm (CIDM), but chances are you have watched its films or shows on one of the many major digital content providers.
Thanks to the rise of technology and mobile devices, streaming has disrupted the way that consumers view content. There is greater flexibility and more options than ever, and this is where Cinedigm is right at home. Cinedigm is an independent content company with many major content-streaming partners in the industry.
Cinedigm creates content across a wide spectrum of genres, including indie film, horror, and family entertainment. It also has a channel dedicated to iconic performances, including one for the late famous painter Bob Ross. The company uses the latest technology to stay at the forefront of the content streaming wars. Cinedegim boasts a portfolio of assets comprising:
- 50,000 film and TV programs
- Almost 82 million monthly active viewers across web, mobile, and social media as of Q2 FY23
- Over 100 million SVOD subscribers
- 1.1 billion unique consumer devices
In addition to demand among consumers, advertisers are also shifting their ad spend to streaming, which is a potential catalyst for CIDM stock.
One of the risks that Cinedigm is exposed to is that it is highly dependent on its partners to air its film and show content. If its relationships with Netflix or Amazon were to go awry, the stock price could suffer significant damage if investors become fearful about the company’s future profits.
Another potential headwind is high inflation in the economy, which could result in consumers reducing their content streaming subscriptions to save on expenses.
In 2023, Cinedigm shuffled its C-Suite and named several new members to its executive management team in an attempt to clean up its accounting division. In addition, the company expanded its footprint with the announcement of a new network in Madrid on Amazon Freevee called the El Rey Network.
Cinedigm has been around for more than two decades. It is considered an internet play and delivers tailored content solutions to various industries, including retailers, media giants, and other technology companies. Cinedigm produces content such as motion pictures and television series that are aired elsewhere.
Cinedigm’s partners include several household names like iTunes, Netflix, and Amazon. Cinedigm’s content can also be watched on major cable television platforms including Comcast as well as satellite providers Dish Network and DirecTV. Big-box retailers like Walmart and Target are also partners.
Founded in 2004, Cinedigm is domiciled in New York. Cinedigm’s stock trades on the Nasdaq under the trading symbol (CIDM) and had its IPO in November 2003.
- 1 Cinedigm (CIDM) Stock Forecast 2023
- 2 Cinedigm (CIDM) Stock 2022
- 3 CIDM Stock 2021
- 4 CIDM Stock 2020
- 5 CIDM Stock 2019
- 6 CIDM Stock 2018
- 7 CIDM Stock 2017
- 8 How to Invest in Cinedigm (CIDM) Stocks
- 9 Conclusion
- 10 FAQ
Cinedigm (CIDM) Stock Forecast 2023
Wall Street analysts covering CIDM have a “strong buy” rating on the stock. Based on artificial intelligence (AI) stock price predictions, CIDM could reach a high of $0.55 and a low of $0.48, for an average price of $0.51 in 2023. As of November 2022, CIDM stock is in the portfolio of a number of hedge fund and asset managers, including Citadel Advisors, which could be a bullish sign for the future including 2023.
In its latest earnings report, Cinedigm grew its revenue by 39% though it also continues to suffer from a net loss. Streaming revenue, in particular, soared by nearly 80%. The company expects persistent revenue growth double-digit percentage range over the next couple of years, which could buoy stock price.
Cinedigm (CIDM) Stock 2022
- On Feb. 14-15, CIDM stock rose from $0.79 to $1.12. The rally was in response to the company’s fiscal quarterly earnings results. The company experienced its best-ever quarter for streaming, displaying triple-digit growth for the fourth consecutive quarter.
- During the week of Nov. 17, the stock suffered declines of 13%. Shares fell on the heels of the company’s Q2 fiscal year 2023 earnings results. The stock seems to have been caught in the broader stock market sell-off.
- In mid-December 2022, the stock entered a downtrend due to what technical traders describe as its momentum indicator dropping below the zero level.
CIDM Stock 2021
- CIDM stock rallied in March 2021 on speculation that the company planned to enter the white-hot non-fungible token (NFT) market. Shares soared over 30% in a day followed by another double-digit percentage gain in the March 24-25 stretch. Cinedigm confirmed these rumors on Twitter, announcing NFT initiatives around its streaming channels.
- The stock took a nosedive from $2.23 to $1.56 on Nov. 16, 2021. It was in response to the company’s Q2 quarterly results, which were mixed. Investors focused on the missed revenue expectations.
CIDM Stock 2020
- In May 2020, Cinedigm revealed that it was seeing continued record ad-supported audience and viewership growth that month. Montly active viewers reached 13.2 million during the period. The stock more than doubled from $0.62 on May 19, 2020 to $1.27 per share on May 20, 2020.
- On July 16, 2020, Cinedigm announced a $10.82 million registered direct offering, planned for July of the same year.
CIDM Stock 2019
On Dec. 19, 2019, the company announced plans to acquire a 29% stake in Starrise Media, a leading Chinese entertainment company. The stock climbed from $0.80 per share to $0.85 on Dec. 22, 2019.
CIDM Stock 2018
August 23, 2018 the company announced its content business continued to grow and reduced its debt in its latest quarterly earnings.
CIDM Stock 2017
On Dec. 29, 2017, Bison Entertainment and Media Group announced the compilation of a $40 million investment in Cinedigm alongside a $10 million term loan agreement. The stock went from $1.46 on the day before the announcement to $1.50 to finish the year.
How to Invest in Cinedigm (CIDM) Stocks
One of the rules of thumb in investing is to do your own research, or DYOR. In addition to the information provided here, you can also review Cinedigm’s financial statements and earnings reports to determine if its performance meets your risk/reward profile. The company also has investor presentations available that showcase industry trends as well as internal forecasts.
When you’re ready to invest, we recommend popular trading platform eToro. We have kicked the tires on a number of brokerages and eToro exceeds them all. Therefore, we recommend eToro as the broker to use when buying CIDM stock.
Israeli broker eToro has been around since 2007 and has been growing hand over fist. Close to 30 million investors and traders have joined the eToro platform, so you will be in good company. One of the best features about eToro is its ability to fit the needs of both novice investors and sophisticated traders, with user-friendly features that make investing easier than ever. The first step to investing in CIDM stock is opening an account on eToro.
Step 1: Open an Account
- To sign up, visit www.etoro.com.
- You have the option to click on either the “Join Now” or “Trade Now” button.
- Next, you’ll be brought to a page to submit your personal information.
- To make the sign-up process easier, you can access the eToro site your via Google or Facebook account, which is a growing trend on many websites.
- Review the terms and agree when you are comfortable.
- Complete the process by hitting the “sign-up” button and you are one step closer to investing in CIDM stock.
Step 2: Upload ID
- Next, your account must be verified before you can begin investing. This is so that eToro is compliant with regulations such as know-your-customer protocols. To do this, upload your current ID to the site.
- You can upload a color photo of your passport or both sides of an ID card.
- Next, click on “Open an Account” and you are well on your way to buying CIDM stock.
Step 3: Make a Deposit
- Before you can buy CIDM stock, you must fund your account so that you can begin investing.
- Log into your new eToro account.
- Find the “Deposit Funds” button and click on it.
- Enter the amount you would like to deposit and choose your local currency.
- Select your deposit method of choice, across eToro money, credit or debit card, PayPal, or one of the other supported platforms.
Step 4: Search for Cinedigm Stocks
Now you are ready to search for the stock you want to buy, CIDM. While you are searching the stock, you can also use it as an opportunity to pull any research the trading platform has available on CIDM. This will only strengthen your knowledge about the company before you invest.
Searching is similar to an internet search site. Use the search bar at the top of the eToro website to search for “Cinedigm” stock, and when it appears, select “trade.”
On the eToro platform, you will find many features to help you on your investing journey. Among them is eToro’s “copy trader” tool, which lets you copy the investment portfolio of the platform’s most successful traders in real time. This is ideal for someone who is new to investing or is short on time to put in the research.
Step 5: Buy Cinedigm Stocks
Content streaming is a very hot market in the United States, and Cinedigm is right in the middle of it. Cinedigm gives investors a way to gain exposure to the content streaming market with the added benefit of a diversified portfolio to offset risk. Cinedigm boasts nearly three-dozen streaming channels and tens of thousands of hours of programming.
And the trends are in its favor. The number of streaming services that families used has climbed 98% in the last half-decade. In addition, user and consumption growth hover at all-time highs since the pandemic, while the company is in a good position to benefit from a shift in ad spending from cable to streaming.
CIDM’s stock has been more than halved in 2022. There were some internal setbacks, including inadequate oversight of its accounting department, which Cinedigm is in the process of fixing with a string of new hires. However, revenue is growing, and it seems the stock may have gotten caught up in the broader stock market downdraft. Nevertheless, it has been a challenging year for CIDM. But the company’s fundamentals are improving. Investors must be patient to potentially reap rewards.
As Cinedigm keeps up with technology trends and continues to embrace innovation, as it has done with NFTs, the stock could be in favor once again — especially if the economy improves. If you would like to gain exposure to a stock that gives you exposure to content streaming but is less pricey than Netflix to own, then Cinedigm could be a good fit for your portfolio.
- Will Cinedigm trade above $1 again?
Based on its historical performance, CIDM could be quite volatile. It is finishing out 2023 at approximately the $0.44 level. The stock has been known to double on positive news in the past. Therefore, it is reasonable to expect that the stock could do it again and reclaim the $1 level or thereabouts.
- Is CIDM a good stock to own in 2023?
It could be. Hedge fund traders appear to be bullish on CIDM based on their holdings as of January 2023. If they own it, it could be a stock that you also want to have in your portfolio.
- Who are Cinedigm’s main competitors?
On the content side, Cinedigm considers the following companies its top competitors: Entertainment One, IFC Entertainment, Lionsgate Entertainment, Magnolia Pictures, RLJ Entertainment and AMC Networks.
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