The firm said it raised its rating on the animated film and entertainment studio as it believes DreamWorks will benefit from its shift in focus to younger viewers.
Stifel has a $34 price target on DreamWorks stock.
Based in Glendale, Calf. DreamWorks Animation is engaged in the development and production of animated films in the theatrical, home entertainment, digital, TV and other markets. Some of the company's films include the "How to Train Your Dragon" and "Shrek" franchises, "Kung Fu Panda" and "Home."
Separately, TheStreet Ratings team rates DREAMWORKS ANIMATION INC as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate DREAMWORKS ANIMATION INC (DWA) a HOLD. The primary factors that have impacted our rating are mixed-some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and a generally disappointing performance in the stock itself."
Highlights from the analysis by TheStreet Ratings Team goes as follows: