Network News: 2016 August GW Market Watch


Network News is rated: trending land of make believe importance for this blog

Watching stocks over the short-term is often an experiment in futility. On July 3rd 2016 we looked back at the state of Games Workshop’s stock price and general financial health…

Last month saw the effects of a decent annual report and the Brexit impact fading in the rearview mirror. Games Workshop is continuing a major charm offensive, as they attempt to engage the community, even bringing community leaders from around the world to meet in Nottingham. Instead of fighting the community Games Workshop seems intent on acting like a helpful partner in growing the brand. Still, these sort of outreaches don’t make a difference to stock performance, unless sales increase as a result. So, while GW tries to convince hobbyists they are no longer the devil, how did they actually fair in the investment world?

To see what I am talking about take a look at Games Workshop stock for just August 2016, now that major events have past.

Things are steadily moving in the right direction as the stock was up another 6.5%;  in addition to the +10.5% increase from last July. How do things look year to date though?

Things are still pretty horrific, being down 14% for the year, but this better than the 20% from a few months ago.

There is no real interesting news on the investors GW page, with the only things of note are some stock buy backs and the moving of deck chairs. We though did get a piece of fun reporting, that could have caused a few investors to take a look at the stock. The British Telegraph paper had an article by Peter Spruce about why you should buy GW stock.

Questor share tip: Buy Games Workshop as company leverages fantasy brands.

It is worth a read as it focuses on the “outsourcing” of Games Workshop’s IP to generate revenue. Still, the best part is the author throwing shade at still chairman Tom Kirby and his thinking that only GW knows what is best for GW, not anyone else.

Next month we will steaming straight towards the final quarter and we shall start to see if GW can erase the horrible winter of 2015 completely from memory.