Will Movie Gallery go bankrupt in 7 year time?

Question

Can somebody with good analysis skills let me know if Movie Gallery go bankrupt in 7 year time. I am thinking of investing in it for 5-7 year period.

thanks

Answer 1

The company has gone through some difficult transitions, and lost money last year and second quarter of this year. The stock price has reflected the disappointing results. Analysts are divided as to what is in the immediate future for the company, but on average they feel it will be profitable within the next year.

They have had their ups and downs over the years, and continue to struggle, but I think their franchise is solid in the DVD and game rental businesses.

Because technology changes it is difficult to forecast anything out 5-7 years. Current management seems to be making the kind of changes that are necessary for the company to survive and prosper. I would not bet the farm on the company, but neither do I see signs of impending bankruptcy.

Best of success.

Answer 2

i dont know that.