adithya
Core Member
Summary
There was a rumor earlier this year that Sony was thinking of selling its struggling film and TV business units.
Sony Pictures/Columbia had a terrible 2016. Sony had to write-down 112 billion yen or $1 billion from its movie business last January.
The total U.S. domestic gross of Sony/Columbia films released last year was only $911.31 million.
Spider-Man: Homecoming might help Sony’s film unit post a profit this year. The Spider-Man saga is a bottomless oil well for Sony. It must not be sold.
The film unit’s troubles did not hold back SNE. The YTD performance of SNE is +41.99%. Investors apparently did not put too much weight on Sony’s struggling film business.
My last buy rating for Sony (SNE) was last October 28. The stock has since returned +26.23% since that time. I’m still reiterating my buy rating for Sony. I like that Sony did not sell its film and TV business. There was rumor earlier this year that Sony was considering sale of its troubled film entertainment unit. The film business contributed $8.06 billion to Sony’s revenue last year.
Movies are therefore the fourth largest contributor to Sony’s top line. It is still more important than Sony’s declining smartphone business.
(Source: Statista)
The chart below illustrates why Sony/Columbia Pictures was such a disappointment last year. The head of Sony Entertainment, Michael Lynton, had to step down last January. Disney (DIS) and Time Warner (TWX) had a great 2016 in movies, while Sony had a disaster.
There was a rumor earlier this year that Sony was thinking of selling its struggling film and TV business units.
Sony Pictures/Columbia had a terrible 2016. Sony had to write-down 112 billion yen or $1 billion from its movie business last January.
The total U.S. domestic gross of Sony/Columbia films released last year was only $911.31 million.
Spider-Man: Homecoming might help Sony’s film unit post a profit this year. The Spider-Man saga is a bottomless oil well for Sony. It must not be sold.
The film unit’s troubles did not hold back SNE. The YTD performance of SNE is +41.99%. Investors apparently did not put too much weight on Sony’s struggling film business.
My last buy rating for Sony (SNE) was last October 28. The stock has since returned +26.23% since that time. I’m still reiterating my buy rating for Sony. I like that Sony did not sell its film and TV business. There was rumor earlier this year that Sony was considering sale of its troubled film entertainment unit. The film business contributed $8.06 billion to Sony’s revenue last year.
Movies are therefore the fourth largest contributor to Sony’s top line. It is still more important than Sony’s declining smartphone business.
(Source: Statista)
The chart below illustrates why Sony/Columbia Pictures was such a disappointment last year. The head of Sony Entertainment, Michael Lynton, had to step down last January. Disney (DIS) and Time Warner (TWX) had a great 2016 in movies, while Sony had a disaster.