Why Lions Gate Entertainment (LGF) Stock Is Up Today

NEW YORK (TheStreet) -- Lions Gate Entertainment (LGF) was gaining 5.3% to $31.25 Wednesday after announcing a long-term output agreement with Roadshow Films in Australia.

The output agreement includes The Hunger Games: Mockingjay -- Parts 1 & 2, which are scheduled to release in November 2014 and November 2015, respectively. The agreement extends an existing partnership which helped distribute the first two Hunger Games movies to theaters in Australia, one of the top three international territories for both movies.

"We're pleased to extend our relationship with one of the premier distributors in Australia and delighted to bring them the most exciting feature film slate in our Company's history," Lionsgate Motion Picture Group Co-Chairs Patrick Wachsberger and Rob Friedman and Lionsgate International COO Andrew Kramer said in a press release. "Our portfolio of tentpole franchises, potential franchises and star-driven event films will create tremendous opportunities for both companies in Australia in the years to come."

Must read: Warren Buffett's 25 Favorite Stocks

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

TheStreet Ratings team rates LIONS GATE ENTERTAINMENT CP as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:

"We rate LIONS GATE ENTERTAINMENT CP (LGF) a BUY. This is driven by several positive factors, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its good cash flow from operations, expanding profit margins and notable return on equity. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself."

If you liked this article you might like

The Dow, Google and Avis - 5 Things You Must Know Before the Market Opens Tuesday

The Retail Apocalypse Is About to Descend on Wall Street This Coming Week

Hasbro Ends Talks to Acquire Lionsgate