Full Answer
Is MoviePass’s stock still a buy at $17?
Its stock has fallen 99% to as low as 17 cents per share from nearly $39 last October. That was just after MoviePass announced it was cutting its price to $10 per month. MoviePass recently announced that it has 3 million subscribers. But the cost has also caused analysts to wonder just how sustainable the company can be.
What is the MoviePass subscription service?
MoviePass Inc. offers online ticketing services. The Company provides a subscription service that allows customers to attend movies in theaters at a fixed monthly price through a mobile application. Subscribe for $1.99 today.
Why did MoviePass stock crash?
Photo by Darron Cummings/AP/REX/ShutterstockCassie Langdon holds her MoviePass card outside AMC Indianapolis 17 theatre in Indianapolis. MoviePass stock value crashed in the wake of a service interruption, new subscription revenue increase measures, and other disappointments. MoviePass stock dropped to $0.496 as of 3:55 p.m. PT on July 31, 2018.
Is MoviePass back from the dead?
Well, it's back from the dead. Co-founder Stacy Spikes has bought MoviePass -- the company that fired him -- out of bankruptcy, presumably for pennies on the dollar. One might wonder why Spikes wants to resurrect an utterly failed business model. Let's take a look at what MoviePass 2.0 hopes to accomplish in 2022. Image source: Getty Images.
Is MoviePass publicly traded?
The new entity, MoviePass Entertainment Holdings, will be publicly traded, the company says. The company is also planning to distribute some outstanding shares of MoviePass Entertainment common stock as a dividend to Helios and Matheson shareholders.
Is HMNY stock still trading?
The company ended up filing for bankruptcy in January 2020 with plans to liquidate its assets. That also saw HMNY stock delisted from the Nasdaq Exchange and make its way over to OTC Markets.
What happens to my HMNY stock?
HMNY stock lost its Nasdaq Exchange listing, and now trades on the over-the-counter markets. In September 2019, MoviePass called off service for its customers, citing a lack of capital. Helios and Matheson filed for bankruptcy in 2020 after simply running out of cash.
Where can I buy Helios and Matheson stock?
Helios and Matheson Analytics (HMNY) is a common stock listed on the NASDAQ exchange, which means you can buy the stock from most brokers....How To Buy HMNYFind a reliable broker. ... Fund your new account. ... Search for HMNY on the brokerage app or site. ... Buy the stock.
Will Helios Matheson recover?
It's completely possible that Helios and Matheson Analytics won't be making a grand return anytime soon. Instead, it could be that another company bought MoviePass during the liquidation and is behind the countdown.
Is Helios and Matheson coming back?
The service eventually shut down in 2019, and Helios and Matheson Analytics filed for bankruptcy the following year. Then, last winter, Spikes bought back the company and announced plans to relaunch the service.
What company owns MoviePass?
Helios and Matheson AnalyticsMoviePass / Parent organizationHelios and Matheson Analytics was a publicly traded data analytics company based in New York City, New York. It was the parent company of MoviePass. Wikipedia
Does MoviePass still exist?
MoviePass—the movie ticket subscription service that imploded in 2019—will return this summer, founder Stacy Spikes announced Thursday, though it's not yet clear how much the new iteration of the service will cost compared to its failed predecessor.
Who owns Helios and Matheson?
Helios and Matheson Analytics, parent company of MoviePass, CEO Ted Farnsworth (Nasdaq: HMNY) in an exclusive interview, tells Proactive Investors' Christine Corrado the company is going ahead with a a reverse stock split, taking it to US$21 from US$0.09, to avoid being delisted by Nasdaq.
How can I buy HMNY?
Shares of HMNY can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include WeBull, Vanguard Brokerage Services, TD Ameritrade, E*TRADE, Robinhood, Fidelity, and Charles Schwab.
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Could someone just be messing with us?
Absolutely. There’s no real evidence the service is making a comeback. No one has come forward to say the website is theirs.
How much does AMC charge?
AMC charges its customers about $20 a month for the right to see as many as three movies per week. Regal's service is even cheaper -- just $18, and for "unlimited" movies. Cinemark has the cheapest offer of all, in a couple of senses. Its $9 subscription service entitles you to see ... one whole movie per month.
What is the upside of Cinemark?
The upside for Cinemark is that, with the stingiest offer of the three, its business is currently earning the fattest profits -- $443 million in annual operating profit, according to data from S&P Global Market Intelligence, on sales of $3.2 billion. AMC seems to be holding it together as well.
Is Helios unable to predict movie pass?
And in any case, successful or not, Helios will be "interrupting the MoviePass service for all its subscribers effective September 14, 2019" and "is unable to predict if or when the MoviePass service will ...
Who owns MoviePass?
Consumers rejoiced at the upending of the $50-a-family night-at-the-movies business model that Hollywood had championed for years, and MoviePass' owner, Helios and Matheson ( OTC:HMNY), quickly became one of the hottest stocks on the market.
What happened to MoviePass?
As MoviePass devalued ticket prices with an unlimited subscription, the relationship between AMC, the country's largest theater chain, and MoviePass started to crumble. AMC threatened legal action and called MoviePass's price point "unsustainable"; MoviePass temporarily blocked access to 10 of the most popular AMC theaters, like the one in Times Square, to put pressure on AMC to give it a cut of ticket and concession sales. MoviePass eventually re-added those theaters, but AMC then launched its own competing subscription service in June, called Stubs A-List, which it now claims has 175,000 paid subscribers. Other theaters also started offering competing services: Cinemark started a Movie Club, and the popular indie theater chain Alamo Drafthouse also began testing its own subscription service called Alamo Season Pass at a theater in Yonkers.
Is MoviePass bad?
People may love the MoviePass concept, but the service has notoriously bad customer service. Lots of consumers received gift subscriptions to MoviePass over the holidays last year, and the company was not prepared. The sudden surge of customers led to a total disaster in customer service: People waited weeks to receive their card in the mail, even after they started getting billed. Messages to customer service went unanswered for days, even weeks in some cases, and MoviePass's Facebook and Twitter pages were flooded with complaints.
Who owns MoviePass?
In April 2018, MoviePass’s parent company, Helios & Matheson, bought the film production company Emmett Furla Oasis Films to create MoviePass Films (fun fact: Randall Emmett, one of the partners of Emmett Furla Oasis, is the boyfriend of Lala Kent on Vanderpump Rules ). If you squint, you could see how this might have made sense: Netflix, where MoviePass’s CEO used to work, started out as a distribution platform, then successfully produced its own content. MoviePass could’ve used its platform to promote the movies it had a hand in producing to its customers.
The movie-ticket subscription service shook up the industry in 2017 and 2018. Things are very different this time
Anders Bylund is a Foolish Technology and Entertainment Specialist. Where the two markets intersect, you'll find his wheelhouse. He has been an official Fool since 2006 but a jester all his life.
Key Points
The original MoviePass service tried to turn an expensive, time-limited promotion into a long-term business plan. It failed dreadfully.
Things are different this time
The rebooted MoviePass will not offer completely unsustainable discounts on movie tickets, the way the first iteration of this company did. Spikes was reportedly a voice of reason back then, fired for his habit of raising objections to the cash-draining operating model.
I mean, they're really different
Keen on staying on the bleeding edge of new technology, Spikes wants to build the new MoviePass service around blockchain technologies. When the service launches this summer, it will let users buy, sell, and trade movie-watching credits through a blockchain-based marketplace.
Is MoviePass dead?
MoviePass has been dead for nearly two years. But the execs behind ill-fated company have only just reached a settlement with the Federal Trade Commission over charges that they misled customers and also failed to take reasonable steps to protect user data. The principal executives of MoviePass — the theater-subscription company that shut down in ]
Is Moviepass going bankrupt?
As you may recall, the Moviepass parent company crashed and burned in 2019, filing for Chapter 7 bankruptcy in early 2020. But, after a year of being declared defunct, its thinly traded stock has shown small signs of life.
MoviePass Draws The Curtain
- The press release just about said it all: In so doing, Helios and Matheson hopes to unload "liabilities" racked up over years of selling movie tickets at below cost -- assuming it can find a buyer willing to take on that debt. Failing that, according to the press release, "there can be no assurance that the Committee's review process will result in...
What It Means For Investors...
- For just about anyone other than stock momentum traders, MoviePass' demise was both a foregone conclusion and a non-event. Consumers who bought into the premise of MoviePass back in its heyday -- that the company could somehow make a profit selling $300 worth of movies for just $10 a month -- recall how MoviePass epically failed to make that business model work. I…
and What It Means For Consumers
- But there's good news, too. MoviePass may have bungled its business model, but the companies it once hoped to profit from -- movie cinema chains Cinemark (CNK6.47%), AMC Entertainment (AMC3.48%), and Cineworld's (CINE2.08%) Regal Entertainment -- may have learned from MoviePass' mistakes. Responding to the threat MoviePass posed, all three of these chains instit…
Some Advice For Consumers
- As popular as movie subscriptions have proved to be, I don't see the chains doing away with them anytime soon. (That would open the door for a new MoviePass to emerge, after all). But judging from the trends I see in falling profits and rising prices, I wouldn't be at all surprised to see these chains steadily ratchet up subscription prices over time. My advice: Any time one of these comp…