Clint Eastwood's box-office day was made this past weekend. According to Boxofficemojo, his film Gran Torino, distributed by Time Warner (NYSE: TWX), was number one at domestic theaters. The film, which saw a much wider release this week, took in $29 million. That was $8 million more than the movie in second place, News Corp.'s (NYSE: NWS) Bride Wars, starring Kate Hudson and Anne Hathaway. Gran Torino has banked about $40 million at this point. Eastwood may be old, but he's still relevant. Good going, Dirty Harry.

As interesting as the above is, I'm actually more interested in the film in third place. And I'd be willing to bet that Lions Gate Entertainment (NYSE: LGF) shareholders are interested in it as well. That's because The Unborn, distributed by General Electric's (NYSE: GE) Universal, is a horror film that did much better than I expected. I heard bad word of mouth about the project, but it actually grossed more than $20 million. Lions Gate will be releasing My Bloody Valentine 3-D next weekend, and I think the performance of The Unborn may improve that film's chances.

Lions Gate, as we all know, is a studio that has a reputation for being an expert in targeting slick (as well as sick) slashers at young people. I want to see this remake, but I'm not interested in the whole 3-D aspect, I couldn't care less. I know, though, that perhaps the older teens will care. Still, I do hope the studio made sure that there's quality to back up the gimmick. If there isn't any, then it will quickly fade from the multiplex.

Continue reading Clint Eastwood shoots to the top of the box office

Clint Eastwood shoots to the top of the box office originally appeared on BloggingStocks on Mon, 12 Jan 2009 09:26:00 EST. Please see our terms for use of feeds.

Unlike the free market economy in the United States, in China companies that develop raw materials are state owned. In a bizarre twist, China is able to stabilize raw material prices more quickly than other developed countries. So where the US Treasury moved to loan money to the auto industry, the Chinese government can step in directly to stabilize prices.

As an example let's look at China's aluminum producers. Back in October Chalco, China's largest aluminum producer, cut production by 720,000 tons or 18%. At that time the price of aluminum was about $2000 US dollars per ton. Now just two months later aluminum supplies are still increasing and prices are still falling. In an effort to "hold the line" and halt the slide in prices, China'a State Reserve Bureau has stepped in and bought 300,000 tons at about $1800 US dollars per ton.

Do you feel these practices will hurt or help the world economy?

How does China protect its basic industries? originally appeared on BloggingStocks on Mon, 29 Dec 2008 11:00:00 EST. Please see our terms for use of feeds.

They say that the higher you climb, the harder you fall. Well that has certainly been the story of freight carrier DryShips (NASDAQ: DRYS).

A glance at the stock's two-year chart is likely to cause more than just nausea.

In 2007, shares of DRYS rallied hard on the heels of the global growth story. Chinks in the armor began to appear in the fall of that year, and DRYS sold off some of its gains. By the end of that year, shares had lost 20% of their value from the peak.

The world economy was tied tighter to the U.S. economy than most believed. Even worse, the large amount of hedge fund money in the stock ultimately resulted in the stock's demise.

And what a demise it has been.

Shares of DRYS collapsed this year amid a slowing economy and the credit crisis. Prices for bulk goods fell like a rock at a time when new ships meant more capacity.

It was a recipe for disaster, but what about now? Is DRYS a bargain trading for less than $5 per share?

On Monday, with the news of a massive stimulus plan being advocated by the President-elect, DRYS turned on a dime. Following through yesterday, the stock is up some 30%.

Continue reading Growth story could sail again -- buy DryShips (DRYS)

Growth story could sail again -- buy DryShips (DRYS) originally appeared on BloggingStocks on Wed, 10 Dec 2008 12:45:00 EST. Please see our terms for use of feeds.

With global markets in turmoil - and as the credit crunch worsens - AIG (NYSE: AIG) has the miserable task of raising $75 billion to meet its capital requirements. The firm has talked to various private equity firms (who have basically wanted the keys to the operation). There were even talks with Warren Buffett.

No doubt, AIG is scrambling to assess its asset base as well. Which could fetch good values?

Interesting enough, there is one asset that hasn't received much attention: an equity stake in Blackstone Group LP (NYSE: BX).

About 10 ears ago, AIG invested roughly $150 million in the private-equity powerhouse. Now, the stock is worth about $700 million. Moreover, AIG has investments in Blackstone funds that amount to about $1 billion.

So yes, AIG may dump these holdings on the market - and put pressure on Blackstone's shares, right?

Perhaps. Although, investors don't seem to be concerned (the stock price has held steady in the current financial storm). Then again, Blackstone doesn't have balance sheet issues. More importantly, the firm has been bulking up its abilities to capitalize on distressed investments - which seems spot-on right now.

Tom Taulli is the author of various books, including The Complete M&A Handbook and The Edgar Online Guide to Decoding Financial Statements. He is also the founder of BizEquity, a valuation website

AIG to dump Blackstone stake? originally appeared on BloggingStocks on Tue, 16 Sep 2008 09:58:00 EST. Please see our terms for use of feeds.