Monday, December 12, 2016

TVStocks - ABC's Designated Survivor

ABC has been very pleased with the ratings for the Kiefer Sutherland vehicle Designated Survivor, ordering a full 22 episode season not long after it debuted.  While ratings have dipped a bit since, they still remain strong, and there's no reason to think the show will not be renewed.  With 22 episodes ordered, there's little reason to justify the stock's current price of $19.61, as it should adjust to $22 on May 31, 2017, a 12.2% increase in 5.5 months, approximately 25% annually.

Designated Survivor could suddenly tank in the ratings, but there's almost nothing to suggest that DESURV won't adjust to $22 at the end of May.

Recommendation: If you have a small portfolio and need to invest in big, quick gains, DESURV isn't the stock for you.  But if you have plenty of investible funds and need somewhere to invest, DESURV offers a nice pickup for you.

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