The RealD company that is reportedly expanding in China now, approaches a low in trading value today at $7.71, down four percent.
RealD is also continuing to expand in the U.S., building 3D screens on top of the 13,100 at 2,900 locations it had at the end of June. But Stifel analyst Benjamin Mogil recently downgraded the 3D technology company to “hold” from “buy,” and this has investors weary.
Many of RealD’s contracts with the major U.S. theaters are going to expire in 2018, and the word seems to be that the theaters will be able to bargain with RealD at that time, as of yet. Moreover, RealD has stated that they intend to bring their technology to the home theater realm but has failed to create any real benchmarks for progress there.
Apparently some claim RealD may want to go private, however since insiders own just 15 percent of the company this may prove difficult.
Greg Fischer, @guru_apprentice