Investing in Marvel: The Death of a Spider
By Ian L. Cooper
A long-time friend and reader of Death Cross Trader and Early Alert Trader brought my attention to something quite interesting. It seems that with the release of the Spider Man movies, shares of Marvel have rocked as share buying momentum dies off.
In 2002, for example, after running from $2.50 to more than $6 on Spidey-hype, the stock sold off shortly after the film’s release, falling from about $6 to less than $3.50 a month later. Then, on the June 30, 2007 release of “Spider Man 2”, the stock tanked from about $20 to less than $13 in a month’s time.
We could see the same situation unfold on the release of “Spider Man 3” in May 2007. Is it an unexplainable phenomenon wreaking havoc on unsuspecting investors? Nah… Investors, too, are well aware of the coming doom after this product’s release and opt to short the hype-driven stock for quick gains on the downside.
Stay tuned to Death Cross Trader alerts for specific buy information on Marvel puts.
Take care,
Ian L. Cooper, Editor, Death Cross Trader
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