Lionsgate Studios Corp. (NYSE:LION) Sees Large Increase in Short Interest

Key Points

• Lionsgate Studios Corp. experienced a notable increase in short interest, rising by 24.7% in August, bringing the total to 9,250,000 shares.
• Analysts have set a consensus price target of $8.75 for LION, with several firms issuing ratings including "buy" and "outperform".
• The company reported a quarterly loss of ($0.34) EPS, missing analysts' expectations by ($0.18).

Lionsgate Studios Corp. (NYSE:LION - Get Free Report) was the target of a large increase in short interest in August. As of August 31st, there was short interest totaling 9,250,000 shares, an increase of 24.7% from the August 15th total of 7,420,000 shares. Currently, 4.7% of the shares of the stock are sold short. Based on an average daily trading volume, of 2,330,000 shares, the days-to-cover ratio is currently 4.0 days. Based on an average daily trading volume, of 2,330,000 shares, the days-to-cover ratio is currently 4.0 days. Currently, 4.7% of the shares of the stock are sold short.

Insider Transactions at Lionsgate Studios

In other news, major shareholder Liberty 77 Capital L.P. bought 500,000 shares of the company's stock in a transaction dated Monday, July 7th. The stock was bought at an average price of $5.63 per share, for a total transaction of $2,815,000.00. Following the completion of the transaction, the insider directly owned 37,476,036 shares in the company, valued at $210,990,082.68. The trade was a 1.35% increase in their position. The acquisition was disclosed in a legal filing with the SEC, which is available at the SEC website. In the last ninety days, insiders acquired 651,855 shares of company stock valued at $3,675,834. Insiders own 9.40% of the company's stock.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in the stock. Osaic Holdings Inc. raised its holdings in Lionsgate Studios by 4,852.0% in the 2nd quarter. Osaic Holdings Inc. now owns 4,952 shares of the company's stock worth $29,000 after purchasing an additional 4,852 shares during the period. Orion Porfolio Solutions LLC purchased a new position in Lionsgate Studios in the second quarter worth approximately $70,000. Marex Group plc purchased a new position in shares of Lionsgate Studios during the second quarter worth $119,000. Boussard & Gavaudan Investment Management LLP acquired a new stake in shares of Lionsgate Studios in the second quarter valued at $3,407,000. Finally, Tower Research Capital LLC TRC raised its stake in Lionsgate Studios by 566.5% in the second quarter. Tower Research Capital LLC TRC now owns 18,470 shares of the company's stock valued at $107,000 after buying an additional 15,699 shares in the last quarter.

Analyst Ratings Changes

Several research firms have issued reports on LION. Morgan Stanley dropped their price objective on Lionsgate Studios from $8.50 to $8.00 and set an "overweight" rating on the stock in a research note on Tuesday, May 27th. Benchmark assumed coverage on Lionsgate Studios in a report on Monday, July 28th. They set a "buy" rating and a $8.50 target price on the stock. Wells Fargo & Company started coverage on Lionsgate Studios in a research note on Tuesday, August 5th. They issued an "overweight" rating and a $9.00 target price for the company. Wolfe Research initiated coverage on Lionsgate Studios in a research note on Tuesday, July 29th. They issued a "peer perform" rating for the company. Finally, Rosenblatt Securities dropped their price objective on Lionsgate Studios from $13.00 to $9.00 and set a "buy" rating on the stock in a research note on Wednesday, June 4th. Two equities research analysts have rated the stock with a Strong Buy rating, seven have assigned a Buy rating and four have given a Hold rating to the company. Based on data from MarketBeat.com, the company has an average rating of "Moderate Buy" and an average target price of $8.75.

Lionsgate Studios Trading Down 3.1%

LION stock traded down $0.22 during trading on Friday, reaching $6.93. The stock had a trading volume of 5,239,913 shares, compared to its average volume of 2,592,840. The stock's 50 day moving average is $6.47 and its two-hundred day moving average is $7.16. The firm has a market cap of $2.01 billion, a PE ratio of -10.34 and a beta of -0.21. Lionsgate Studios has a 52 week low of $5.55 and a 52 week high of $8.50.

Lionsgate Studios (NYSE:LION - Get Free Report) last released its earnings results on Thursday, August 7th. The company reported ($0.34) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.16) by ($0.18). On average, research analysts anticipate that Lionsgate Studios will post 0.08 EPS for the current year.

About Lionsgate Studios

Lionsgate Studios Corp. engages in the provision of motion picture and studio operations that bring a varied portfolio of entertainment to consumers. The company is headquartered in Santa Monica, CA.