Stockchase Opinions

Michael Sprung Entertainment One Income Fund EOF.UN-T SELL Dec 07, 2005

Not enamoured with this one. An open ended trust. They wholesale CD’s and DVD’s which has razor thin margins. Hard to predict.
$3.550

Stock price when the opinion was issued

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BUY
The largest national wholesaler of DVD's and CD's in Canada. Recently made a US acquisition of a content provider. This will be less seasonal and cyclical with higher margins. At the current price, the distribution is 24%.
DON'T BUY
Distributors of CDs and DVDs. Unfortunately has been one of the broken trusts in 2005. They cut their distribution by close to 30% in the latter part of 2005.