Monday, September 24, 2012

9/24/12 Picks

Kate Beckinsale - KBECK

It will take a little patience to make money off of KBECK, but there's a guaranteed profit at the end of the wait.  KBECK is currently trading at $33.22, well below the TAG of $41,201,916.  The next film to drop out of TAG range is Whiteout (2009), which will adjust her price to $39.15, a $5.93 per share, or 17.85%.

No release date has been set for Beckinsale's next film, The Trials of Cate McCall, though IMDB lists it for a 2013 release.  Even if the film is released in limited release and makes little profit, KBECK is still well worth investing in.  If the film performs as well as HSX investors believe it will - TTOCM currently is trading at $14.78, KBECK would get pushed near the $42 range.

Beckinsale doesn't have any other films on the horizon, so the only risk associated with the stock is if TTOCM does not receive a theatrical release.  Still, Beckinsale is a hard working actress, and appeared in eight HSX films between 2007 and the present.  Even if TTOCM doesn't come through and investors have to hold KBECK a bit longer, the 17.85% guarantee is too attractive to ignore for anyone with a portfolio of a decent size.

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