New Hidden Value Stock Idea From Old West Investment Management

A new stock idea from Old West Investment Management:

DHX Media

DHX Media Ltd. (TSX: DHX; NASDAQ: DHXM) is a global children’s content and brands company, recognized for such high-profile properties as Peanuts, Teletubbies, Strawberry Shortcake, Caillou, Inspector Gadget, Johnny Test, and the Degrassi franchise. One of the world’s foremost producers of children’s shows, DHX Media owns the world’s largest independent library of children’s content, at 13,000 half-hours. It licenses its content to broadcasters and streaming services worldwide and generates royalties through its global consumer products division. Through its subsidiary, WildBrain, DHX Media also operates one of the largest networks of children’s channels on YouTube, which has the potential to be a significant growth catalyst in the coming years.

Because DHX Media is a fully integrated producer and owner of children’s content, it’s helpful to better understand the different business segments responsible for generating revenue. For Fiscal 2018 (6/30/2017 – 6/30/2018), DHX Media generated $434 million in revenue and $97.5 million EBITDA.

Old West's third quarter letter to investors, which contains the full investment thesis is available for subscribers below: