How Will Lions Gate Entertainment (LGF) Stock React To Favorable Injunction Over Stolen ‘Expendables 3’?

NEW YORK (TheStreet) -- Lions Gate Entertainment (LGF) won a court order blocking websites from distributing an allegedly stolen copy of “The Expendables 3” viewed by more than 2 million people before the movie’s release in theaters, Bloomberg reports.

In Los Angeles, U.S. District Judge Margaret Morrow granted the company’s request August 8 for an injunction. A single digital file of the film was stolen and uploaded to the websites in late July, the company said in its complaint.

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The movie is scheduled for release August 15. The two predecessors in the “Expendables” franchise generated more than $575 million at the box office, the company said.

Operators of six websites including limetorrents.com and billionuploads.com haven’t responded to demands to stop disseminating the file, Lions Gate said.

Shares of Lions Gate Entertainment close up 7.51% to $32.62 on Friday.

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 multiple strengths, 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."

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