Easy Money with TV Stocks

After a dismal run at NBC in recent years, the network was excited to announce that it is ordering additional episodes of three new shows: Go On, The New Normal, and Revolution.  This is good news for fans of these shows, but also great news for savvy HSX traders.

HSX TVStocks allow investors to bet on how many episodes of a new show will air during the 2012-2013 TV season.  The stocks will pay out $1 per episode after the last episode of the season has aired.  If you bought the stocks of any of these shows at their IPO price, you will have made a nice profit.  But these stocks are still trading at artificially low prices, offering a chance to get in late and still make money at almost no risk.  

Please note that it is still possible that any of these three shows could experience a ratings collapse that could lead to these episodes not being aired.  However, these shows are all doing well, and it is extremely unlikely that these episodes won't air.  The tiny risk that the fortunes of these shows can change is far outweighed by the near guarantee of making money on these stocks.

Go On (GOONBC) is currently trading at $18.75.  With 22 episodes ordered, this stock is $3.25 below its value, offering a 17.3% gain.  17.3% over approximately seven months is a solid gain, and well above what interest would pay on cash.  If you have a small portal and are tight on cash, there are more profitable investment options available.  If you have a large portal with an excess of cash, GOONBC is a great place to park some money for awhile.  

Revolution (RVOLUT) offers less attractive margins than GOONBC, but is still worth buying for those with large portfolios.  It is currently priced at $19.46 per share, $2.54 below its expected value.  Once again, this stock probably isn't a good choice for small portfolios, but the payout is well above HSX interest levels.

The best margin available is for The New Normal (NWNRML), priced at $16.67, $5.33 below value.  This translates to a gain of 32.0% over approximately seven months.  This is a no-brainer for large portfolios, but is worth considering for medium-sized portfolios as well.  Strong traders can make more than this in seven months, but for less active traders, it is well worth considering parking funds in NWNRML and collecting a tidy profit next spring.