DHX Media

DHX.B-T

Analysis and Opinions about DHX.B-T

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DON'T BUY
DON'T BUY
December 9, 2019
Avoid. They're in a tough business, though have good brands. They also carry a lot of debt from acquisitions. Their chart does not look good.
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DHX Media (DHX.B-T)
December 9, 2019
Avoid. They're in a tough business, though have good brands. They also carry a lot of debt from acquisitions. Their chart does not look good.
DON'T BUY
DON'T BUY
November 14, 2019
Things aren't going well. Very expensive endeavour developing content. Be cautious. "Restructuring debt" is a signal for investors to go elsewhere.
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DHX Media (DHX.B-T)
November 14, 2019
Things aren't going well. Very expensive endeavour developing content. Be cautious. "Restructuring debt" is a signal for investors to go elsewhere.
DON'T BUY
DON'T BUY
October 31, 2019
It has undergone some rough times and has a lot of debt on the balance sheet from past acquisitions in the content business. They made management changes recently and sold off some of this. It is a higher risk investment that is difficult to value so he stays away from it.
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DHX Media (DHX.B-T)
October 31, 2019
It has undergone some rough times and has a lot of debt on the balance sheet from past acquisitions in the content business. They made management changes recently and sold off some of this. It is a higher risk investment that is difficult to value so he stays away from it.
DON'T BUY
DON'T BUY
August 8, 2019
Between high debt, poor performance and flat revenue projections, he does not see a whole lot of reasons to own it. They put themselves up for sale but no buyer emerged.
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DHX Media (DHX.B-T)
August 8, 2019
Between high debt, poor performance and flat revenue projections, he does not see a whole lot of reasons to own it. They put themselves up for sale but no buyer emerged.
DON'T BUY
DON'T BUY
June 24, 2019
They have not allocated capital in the best interests of the shareholder. They are now undergoing a turnaround. There is a huge opportunity for content providers this year. TBRD-X is a company he would prefer to DHX-T. TBRD-X is very carefully with how they allocate capital.
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DHX Media (DHX.B-T)
June 24, 2019
They have not allocated capital in the best interests of the shareholder. They are now undergoing a turnaround. There is a huge opportunity for content providers this year. TBRD-X is a company he would prefer to DHX-T. TBRD-X is very carefully with how they allocate capital.
HOLD
HOLD
February 20, 2019
The company screwed up badly and they could not find a buyer when they put themselves up for sale. They still struggle with execution on earnings and have a volatile earnings profile. Their debt is high as well. He will give them a couple of quarters before deciding to get out.
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DHX Media (DHX.B-T)
February 20, 2019
The company screwed up badly and they could not find a buyer when they put themselves up for sale. They still struggle with execution on earnings and have a volatile earnings profile. Their debt is high as well. He will give them a couple of quarters before deciding to get out.
SELL
SELL
November 27, 2018
He doesn't like their debt which is 6x EBITDA. He fears this could go bankrupt. Problems were they bought up TV stations from Bell, and lost Disney as core client and in turn will launch their own streaming service and compete with DHX. He's short DHX, which could go to 0.
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DHX Media (DHX.B-T)
November 27, 2018
He doesn't like their debt which is 6x EBITDA. He fears this could go bankrupt. Problems were they bought up TV stations from Bell, and lost Disney as core client and in turn will launch their own streaming service and compete with DHX. He's short DHX, which could go to 0.
HOLD
HOLD
May 2, 2018

The stock has not done well and struggles to meet earnings expectations. Management itself became frustrated and put themselves up for strategic sale. It is worth holding to see what the reviews will be, but would not be a new buyer.

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The stock has not done well and struggles to meet earnings expectations. Management itself became frustrated and put themselves up for strategic sale. It is worth holding to see what the reviews will be, but would not be a new buyer.

SELL
SELL
March 1, 2018

The CEO just stepped down. They were growing fast and adding debt to find it but then the growth fell off and they were left with the debt, so they started a strategic review and the CEO stepped down. This is not a great development. You should look elsewhere. He thinks they will have to sell the company now.

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DHX Media (DHX.B-T)
March 1, 2018

The CEO just stepped down. They were growing fast and adding debt to find it but then the growth fell off and they were left with the debt, so they started a strategic review and the CEO stepped down. This is not a great development. You should look elsewhere. He thinks they will have to sell the company now.

PARTIAL BUY
PARTIAL BUY
January 2, 2018

Produces and licenses children's content such as TV shows. Also licenses the properties to toymakers on different types of products. Got into a bit of a quandary where they were ramping up debt load and the earnings growth slowed down. The market punished the stock. Valuation is now getting to a level where it is a bit easier to digest. There are also activists entering the stock. The recent move by Disney, where they purchased some assets from Fox and were making a big statemen of the importance of owning content, is important. There may be potential buyers sniffing around a company like this, for the content. Still a higher risk, but he would be okay with a half position.

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DHX Media (DHX.B-T)
January 2, 2018

Produces and licenses children's content such as TV shows. Also licenses the properties to toymakers on different types of products. Got into a bit of a quandary where they were ramping up debt load and the earnings growth slowed down. The market punished the stock. Valuation is now getting to a level where it is a bit easier to digest. There are also activists entering the stock. The recent move by Disney, where they purchased some assets from Fox and were making a big statemen of the importance of owning content, is important. There may be potential buyers sniffing around a company like this, for the content. Still a higher risk, but he would be okay with a half position.

DON'T BUY
DON'T BUY
December 21, 2017

Over the last number of years, they’ve been making a lot of acquisitions and raising the amount of their debt. The cash flows from these acquisitions hasn't really come through as had been expected. Debt is very, very high and they need to figure out how to get more cash in their cash flow, so may have to sell off some assets. He would stay away.

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DHX Media (DHX.B-T)
December 21, 2017

Over the last number of years, they’ve been making a lot of acquisitions and raising the amount of their debt. The cash flows from these acquisitions hasn't really come through as had been expected. Debt is very, very high and they need to figure out how to get more cash in their cash flow, so may have to sell off some assets. He would stay away.

COMMENT
COMMENT
November 7, 2017

Was surprised at the negative reaction the market had after they said they are looking for a buyer. Disney would be ideal, but that has some issues, because of the Canadian assets that have to be owned by Canadian entities, but there are always ways you can get around that. The company has a balance sheet problem, which is why the stock is not doing well. It's cheap as a takeover.

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DHX Media (DHX.B-T)
November 7, 2017

Was surprised at the negative reaction the market had after they said they are looking for a buyer. Disney would be ideal, but that has some issues, because of the Canadian assets that have to be owned by Canadian entities, but there are always ways you can get around that. The company has a balance sheet problem, which is why the stock is not doing well. It's cheap as a takeover.

PAST TOP PICK
PAST TOP PICK
November 6, 2017

(A Top Pick Nov 16/16. Down 42%.) This surprised him. Content is king in media. And what is really good is kids content. It will last forever. If you added up its current transactions, you could easily get a $15-$20 valuation. However, in this case, the company just couldn't execute. Sold this after the last quarter.

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DHX Media (DHX.B-T)
November 6, 2017

(A Top Pick Nov 16/16. Down 42%.) This surprised him. Content is king in media. And what is really good is kids content. It will last forever. If you added up its current transactions, you could easily get a $15-$20 valuation. However, in this case, the company just couldn't execute. Sold this after the last quarter.

COMMENT
COMMENT
November 3, 2017

This is the time of year when people should be looking at portfolios, and think about taking tax losses. He takes most of his tax losses in May. At $4 a share, this is way above where he would've bought in. Look at the financials and why you bought in. Think about what is going on with the company. Take a close look at their debt levels. There is a reasonable chance that before the end of the year, there could be tax loss selling.

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DHX Media (DHX.B-T)
November 3, 2017

This is the time of year when people should be looking at portfolios, and think about taking tax losses. He takes most of his tax losses in May. At $4 a share, this is way above where he would've bought in. Look at the financials and why you bought in. Think about what is going on with the company. Take a close look at their debt levels. There is a reasonable chance that before the end of the year, there could be tax loss selling.

DON'T BUY
DON'T BUY
October 25, 2017

This may be a sign of the times, where they essentially own cable subscription type services. A niche segment in the TV industry. There has been lower viewership and lower advertising dollars, which hurts revenues. Not sure the slide in the stock is done yet and would be a little leery. If you own, consider if there are better opportunities for your money to work.

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DHX Media (DHX.B-T)
October 25, 2017

This may be a sign of the times, where they essentially own cable subscription type services. A niche segment in the TV industry. There has been lower viewership and lower advertising dollars, which hurts revenues. Not sure the slide in the stock is done yet and would be a little leery. If you own, consider if there are better opportunities for your money to work.

COMMENT
COMMENT
October 20, 2017

Has put itself up for sale. With Canadian content there are only a few selective buyers. That really restricts it. On the other hand, they would have to break it up which becomes complicated. He’s wondering if 1 or 2 Canadian buyers have kicked the tires, maybe there is a story out there that nothing is going to happen. He doesn’t hear anything, and maybe the silence is deafening.

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DHX Media (DHX.B-T)
October 20, 2017

Has put itself up for sale. With Canadian content there are only a few selective buyers. That really restricts it. On the other hand, they would have to break it up which becomes complicated. He’s wondering if 1 or 2 Canadian buyers have kicked the tires, maybe there is a story out there that nothing is going to happen. He doesn’t hear anything, and maybe the silence is deafening.

PAST TOP PICK
PAST TOP PICK
October 6, 2017

(A Top Pick Oct 12/16. Down 28.4%.) Pulled the plug on this just after they reported earnings. The positive is that they are still an asset story. When you look at the value of content out there, you could argue there is still $20 of valuation. The problem is, they levered up to make the Peanuts acquisition.

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DHX Media (DHX.B-T)
October 6, 2017

(A Top Pick Oct 12/16. Down 28.4%.) Pulled the plug on this just after they reported earnings. The positive is that they are still an asset story. When you look at the value of content out there, you could argue there is still $20 of valuation. The problem is, they levered up to make the Peanuts acquisition.

COMMENT
COMMENT
October 5, 2017

Kind of a rollup story. These stories always work well at first and then almost always fall apart, because it is hard to acquire businesses. They did a bunch of acquisitions, which worked out great until inevitably the wheels fell off. The question is, what are they going to do with this dog’s breakfast of assets. They are in the media space, and those assets tend to have long life, so they might get lucky, but he would be cautious.

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DHX Media (DHX.B-T)
October 5, 2017

Kind of a rollup story. These stories always work well at first and then almost always fall apart, because it is hard to acquire businesses. They did a bunch of acquisitions, which worked out great until inevitably the wheels fell off. The question is, what are they going to do with this dog’s breakfast of assets. They are in the media space, and those assets tend to have long life, so they might get lucky, but he would be cautious.

PAST TOP PICK
PAST TOP PICK
July 19, 2017

(A Top Pick July 29/16. Down 14.92%.) He liked this for the growth prospects of Teletubbies. It got pretty good traction in the UK, but the US was pretty disappointing and that’s when he sold the stock.

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DHX Media (DHX.B-T)
July 19, 2017

(A Top Pick July 29/16. Down 14.92%.) He liked this for the growth prospects of Teletubbies. It got pretty good traction in the UK, but the US was pretty disappointing and that’s when he sold the stock.

HOLD
HOLD
July 14, 2017

The great original in the non-Disney type company. It is Canadian. Great animation programming.

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DHX Media (DHX.B-T)
July 14, 2017

The great original in the non-Disney type company. It is Canadian. Great animation programming.

COMMENT
COMMENT
July 4, 2017

Looks cheap, but it has looked cheap for quite a while. Canadians have trouble valuing this. There is really not much else like it in Canada. They’ve made some recent good transactions. They need consistency of a few quarters bringing the numbers they say they can do, and the stock will slowly go up.

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DHX Media (DHX.B-T)
July 4, 2017

Looks cheap, but it has looked cheap for quite a while. Canadians have trouble valuing this. There is really not much else like it in Canada. They’ve made some recent good transactions. They need consistency of a few quarters bringing the numbers they say they can do, and the stock will slowly go up.

WATCH
WATCH
June 26, 2017

He follows it closely for the children’s content space. They did a great job of monetizing content. They have been on an acquisition binge and have to keep acquiring content to keep the ball rolling. They have quite a bit of debt and have to pay that down quickly. The stock has come down a lot and it is coming close to a buy.

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DHX Media (DHX.B-T)
June 26, 2017

He follows it closely for the children’s content space. They did a great job of monetizing content. They have been on an acquisition binge and have to keep acquiring content to keep the ball rolling. They have quite a bit of debt and have to pay that down quickly. The stock has come down a lot and it is coming close to a buy.

DON'T BUY
DON'T BUY
May 25, 2017

Just made a large acquisition of Strawberry Shortcake and Peanuts. In the last while, there has not been a lot of positive cash flow from the properties they have. A lot of their properties are older and are not the hottest, so they are trying to rejuvenate them. He is staying on the sidelines.

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DHX Media (DHX.B-T)
May 25, 2017

Just made a large acquisition of Strawberry Shortcake and Peanuts. In the last while, there has not been a lot of positive cash flow from the properties they have. A lot of their properties are older and are not the hottest, so they are trying to rejuvenate them. He is staying on the sidelines.

PAST TOP PICK
PAST TOP PICK
May 23, 2017

(A Top Pick May 27/16. Down 7%.) Just did a big stock issuance to buy Strawberry Shortcake and Peanuts. They are taking an oldish brand and re-digitalizing it. Sold this quite some time ago and is looking to possibly get back in again.

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DHX Media (DHX.B-T)
May 23, 2017

(A Top Pick May 27/16. Down 7%.) Just did a big stock issuance to buy Strawberry Shortcake and Peanuts. They are taking an oldish brand and re-digitalizing it. Sold this quite some time ago and is looking to possibly get back in again.

COMMENT
COMMENT
February 28, 2017

Just met with them 2 weeks ago after they came out with disappointing earnings. The stock came down by 10% or more after that. They are not showing the cash flow that people want to see. Haven’t had any big hits. Other companies have done a really good job in creating some new shows, and garnering a lot of revenue from the toy business.

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DHX Media (DHX.B-T)
February 28, 2017

Just met with them 2 weeks ago after they came out with disappointing earnings. The stock came down by 10% or more after that. They are not showing the cash flow that people want to see. Haven’t had any big hits. Other companies have done a really good job in creating some new shows, and garnering a lot of revenue from the toy business.

COMMENT
COMMENT
December 23, 2016

He likes this. To him it is almost a mini Disney. Content is king, and they own children’s content, which has a longer life than a lot of others out there. They are doing a better job distributing into other media as well. He likes the assets they have. The balance sheet is in better shape. They are starting to generate free cash flow again, and the operating cash flow looks good.

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DHX Media (DHX.B-T)
December 23, 2016

He likes this. To him it is almost a mini Disney. Content is king, and they own children’s content, which has a longer life than a lot of others out there. They are doing a better job distributing into other media as well. He likes the assets they have. The balance sheet is in better shape. They are starting to generate free cash flow again, and the operating cash flow looks good.

COMMENT
COMMENT
December 14, 2016

From what is being said, he has a feeling they are not going to report particularly aggressive earnings until the 4th quarter of 2017. You have to be patient. Expects this quiet period will be continuing over the next few months.

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DHX Media (DHX.B-T)
December 14, 2016

From what is being said, he has a feeling they are not going to report particularly aggressive earnings until the 4th quarter of 2017. You have to be patient. Expects this quiet period will be continuing over the next few months.

WAIT
WAIT
November 25, 2016

This has been a bit of a laggard lately. They do media licensing content for children’s television shows. Has had really good success with Netflix, Amazon Prime, etc. Have also had a lot of success with YouTube. He likes this and thinks things are going to turn around in 2017. They have some contracts coming on with DreamWorks, Mattel and more, so closer to the end of 2017 they’ll have more content going out. You may need to wait a few months, but thinks the pastures are greener going forward.

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DHX Media (DHX.B-T)
November 25, 2016

This has been a bit of a laggard lately. They do media licensing content for children’s television shows. Has had really good success with Netflix, Amazon Prime, etc. Have also had a lot of success with YouTube. He likes this and thinks things are going to turn around in 2017. They have some contracts coming on with DreamWorks, Mattel and more, so closer to the end of 2017 they’ll have more content going out. You may need to wait a few months, but thinks the pastures are greener going forward.

TOP PICK
TOP PICK
November 16, 2016

Content is still king. This is one of the best growth stories in media. Kids’ content lasts forever. They actually did a reselling agreement into China not too long ago. Some of this stuff does well internationally. They are paying down the debt and generating free cash flow. Dividend yield of 1.03%. (Analysts’ price target is $9.72.)

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DHX Media (DHX.B-T)
November 16, 2016

Content is still king. This is one of the best growth stories in media. Kids’ content lasts forever. They actually did a reselling agreement into China not too long ago. Some of this stuff does well internationally. They are paying down the debt and generating free cash flow. Dividend yield of 1.03%. (Analysts’ price target is $9.72.)

HOLD
HOLD
November 2, 2016

Has been a little frustrating. It has children’s animation programs and an international library so there are no language issues. Management knows what they are doing. The library has great value. Raised their dividend a couple of times. But the stock is just languishing. A little expensive. A 5-10 year type of story.

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DHX Media (DHX.B-T)
November 2, 2016

Has been a little frustrating. It has children’s animation programs and an international library so there are no language issues. Management knows what they are doing. The library has great value. Raised their dividend a couple of times. But the stock is just languishing. A little expensive. A 5-10 year type of story.

COMMENT
COMMENT
November 2, 2016

This has been a strange year. It has done so well in the last 3 years that it has been neglected. It is not the kind of stock people are focusing on, like value stocks, cyclicals and commodities. She doesn’t see anything wrong with their numbers, so she is hanging on.

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DHX Media (DHX.B-T)
November 2, 2016

This has been a strange year. It has done so well in the last 3 years that it has been neglected. It is not the kind of stock people are focusing on, like value stocks, cyclicals and commodities. She doesn’t see anything wrong with their numbers, so she is hanging on.

TOP PICK
TOP PICK
October 12, 2016

He sees value in the sector. They have growing cash flows and are paying down the debt. He thinks at some point it might be taken out. They have been under pressure recently because of acquisitions.

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DHX Media (DHX.B-T)
October 12, 2016

He sees value in the sector. They have growing cash flows and are paying down the debt. He thinks at some point it might be taken out. They have been under pressure recently because of acquisitions.

COMMENT
COMMENT
October 7, 2016

Put out a somewhat disappointing quarter in that they paid on top line. The EBITDA margin wasn’t as strong as the street consensus was, because they were spending more on Teletubbies as well as buying more content for DHX Television. He is hoping he can get this on a little bit more of a pullback. Looking out to 2017, the challenge in Canadian small cap is that there are very few companies that are able to put up positive 10%-15% organic EBITDA growth.

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DHX Media (DHX.B-T)
October 7, 2016

Put out a somewhat disappointing quarter in that they paid on top line. The EBITDA margin wasn’t as strong as the street consensus was, because they were spending more on Teletubbies as well as buying more content for DHX Television. He is hoping he can get this on a little bit more of a pullback. Looking out to 2017, the challenge in Canadian small cap is that there are very few companies that are able to put up positive 10%-15% organic EBITDA growth.

WATCH
WATCH
October 5, 2016

He would avoid this stock until the downtrend is broken. It has to take out the last high.

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DHX Media (DHX.B-T)
October 5, 2016

He would avoid this stock until the downtrend is broken. It has to take out the last high.

COMMENT
COMMENT
September 30, 2016

Children’s media. He likes this company. It has not been the greatest performer over the last year. Even their most recent quarter reported last week was lacklustre. The guidance for 2017 is looking better. They are expecting double digit earnings growth over the next year. They have kind of put some investments behind them now, and he thinks they are going to start reaping the benefits.

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DHX Media (DHX.B-T)
September 30, 2016

Children’s media. He likes this company. It has not been the greatest performer over the last year. Even their most recent quarter reported last week was lacklustre. The guidance for 2017 is looking better. They are expecting double digit earnings growth over the next year. They have kind of put some investments behind them now, and he thinks they are going to start reaping the benefits.

DON'T BUY
DON'T BUY
September 29, 2016

He has not been involved for the last couple of years. They recently came out with numbers. Their cash flow growth was not there. Stay away from this one. Cap-X is likely to go up as they build a studio.

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DHX Media (DHX.B-T)
September 29, 2016