Helios and matheson analytics9/4/2023 ![]() Among MoviePass’s bigger problems is being sued by its shareholders. We’ve been reporting on MoviePass for the last several years, and the company continues to be plagued with problems, including everything from technology issues to failing to find the right pricing model. With stock valued at less than $0.02 per share, offering shares as a dividend doesn’t seem like much of a bonus. The number of shares to be distributed has not been disclosed. The company would distribute some MoviePass shares as a dividend to shareholders on a yet-to-be-determined date of record. The new company, which would be listed on the NASDAQ, would be a wholly-owned subsidiary of Helios & Matheson, and the parent company would retain controlling interest in MoviePass Entertainment. The company made the announcement in a January 17 news release, advising that it has filed a confidential S-1 registration statement with the Securities and Exchange Commission to create MoviePass Entertainment Holdings Inc. (NASDAQ: HMNY) announced that it would spin off its struggling movie subscription service, MoviePass. and Walmart wasn't one of them! That's right - they think these 10 stocks are even better buys.In October, MoviePass parent company Helios & Matheson Analytics Inc. After all, the newsletter they have run for over a decade, the Motley Fool Stock Advisor, has quadrupled the market.*ĭavid and Tom just revealed what they believe are the 10 best stocks for investors to buy right now. When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. Suffice it to say this doesn't bode well for MoviePass' business, or for Helios and Matheson's stock price. ![]() I'll be very surprised if customers who felt abused by MoviePass last year will be eager to pony up more than $100, up front, to the same company that abused them before. "Fool me once, shame on you fool me twice, shame on me," as the saying goes - and MoviePass fooled investors a lot more than twice last year. Investors jumped on the news as an excuse to bid up MoviePass stock 23.4% today, but can it hold on to those gains? To the contrary, MoviePass reserves to itself "the right to limit the selection of movies and/or the times of available movies" - apparently any time it wants to, and with no promise of a refund if it decides to unilaterally change the terms of the deal as it did so often last year. In fact, MoviePass explicitly refers would-be customers to "section 2.5" of its "terms of use," which warns that actually, MoviePass "makes no guarantee on the availability" of any particular showtime, movie theater, or movie. ![]() It doesn't promise not to change the terms of the deal, either - as it did multiple times last year, crashing its business, and crashing Helios' $5,100 stock to a share price of just $0.01. MoviePass does not specifically promise that it will pay for subscribers to see one movie a day, every day of the month. at theaters everywhere." There do seem to be some caveats worth pointing out, however. MoviePass clarifies that "seeing it all" encompasses being able to see "any 2D movie available in the app. In exchange, they'll receive an "uncapped" subscription permitting them to "see it all." ![]() For a limited time, customers can pre-pay for 12 months of service at $9.95 a month (i.e., pay $119.40 up front). MoviePass's new plan, announced on its website today, sounds a lot like that original plan. It entitled a subscriber to see one movie per day, every day of the month, and made MoviePass so popular that parent company Helios and Matheson's stock quickly topped $5,100 a share (split-adjusted). Once upon a time, MoviePass offered moviegoers a subscription costing $10 a month ( or even less ). MoviePass brings back its all-you-can-eat-for-$10 movie subscription - but will its customers come back? Image source: Getty Images.
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