Parmandur
Book-Friend
You know ow what, I never even bought any cards until Eldraine. I would humor friends by helping them test run a deck or two, but never got into it.
WotC Filing: Wizards of the Coast makes up roughly 70% of Hasbro's value
- Thread starter Henadic Theologian
- Start date
Alzrius
The EN World kitten
I was one of the people who thought that Magic would be blown out of the water by TSR's Spellfire card game.
Drawing away resources. Who cares if WotC's resources get drained away through dividends to shareholders or get drained away into other segments of Hasbro? Does it affect the games we play?
Dividends don't help the company survive a downturn or lean year. Could extra product lines (either as revenue streams or something to sell off when needed)?
Maxperson
Morkus from Orkus
It's the same thing. Hasbro is keeping WotC from earning as much as it can, which is an anchor(or weight of some kind) around its neck. That weight is keeping the investors from earning as much as they can get, since increased WotC value = more money for them.
Mecheon
Sacabambaspis
Weren't these the people who said 'One of the biggest franchises in the world' Power Ranges was a bad choice and deliberately brought it up as such?
Power Rangers, a bad investment, in the middle of this crazed nostalgia market?
I wouldn't put much thought behind anything they do. They'd squeeze as much money they could out of WotC, burn every franchise to the ground, and probably manage to kill both D&D and MtG at the same time
Not quite the same thing. WotC earns what it earns. It's what happens to those earnings that's in question here. If the earnings get siphoned off into Alta Fox's coffers or get siphoned off into Hasbro properties, it doesn't mean that WotC is earning less. Hasbro is not keeping WotC from earning as much as it can. They're making decisions about what to do with those earnings.
Parmandur
Book-Friend
Yeah, no, I don't trust these guys analysis.
Parmandur
Book-Friend
Yeah, they're out to Lunch.
The brand synergy plan Hasbro has in place is q good strategy. I am glad thisnis going nowhere.
Mecheon
Sacabambaspis
Also let's also not forget they're comparing stocks today to stocks in 2015. HRM. I WONDER WHAT WORLDWIDE EVENTS HAVE HAPPENED SINCE THEN THAT MAY IMPACT OTHER THINGS HASBRO OWNS, PARTICULARLY ANYTHING TIED TO CUSTOMER'S SPENDING POWER OR TO THE PRODUCTION OF MOVIES OR RELYING ON GLOBAL SHIPPING. HRM...
They are investors expecting money to always go up and trying any scheme they can to get more cash in their pockets. I think this post on Reddit encapsulates it fully:
"Yep - Alta Fox is using their own tactics to do exactly what they're doing - rally a vocal minority of self-appointed astroturfed critics who exploit the general lack of education on the issue/topic to rally additional people to the cause who also have no idea what they're talking about."
They are investors expecting money to always go up and trying any scheme they can to get more cash in their pockets. I think this post on Reddit encapsulates it fully:
"Yep - Alta Fox is using their own tactics to do exactly what they're doing - rally a vocal minority of self-appointed astroturfed critics who exploit the general lack of education on the issue/topic to rally additional people to the cause who also have no idea what they're talking about."
Maxperson
Morkus from Orkus
The investors get money that goes to Hasbro, because they get money dependent on the value of Hasbro stocks. If that money was the same as it would be if WotC was independent, then they would not be complaining. They want them separated so that the stock value goes up, because Hasbro stops being a weight around WotC.
Maxperson
Morkus from Orkus
That's fine, but that's the argument being put forth.
Would the folks who buy the stocks (mutual funds, etc ...) look on WotC as a better investment with its two narrow but very profitable product lines than they would the combined Hasbro with a lot more IP and product lines, many of which are currently down?
Maxperson
Morkus from Orkus
That's the idea. I don't know if it's accurate or not, but that's the argument.
Parmandur
Book-Friend
Bingo.
Parmandur
Book-Friend
Sure, but it's not in good faith on their part. It's a scam.
The Glen
Legend
According to CNBC who actually discussed this when the news first hit WOTC would spike almost immediately, which can cause the people who wanted it to split to dump their shares at the peak. This can crash the company leaving it far worse than it was but the investors walk away with loads of cash.
That was listed as just a possibility, they gave some examples when it happened before but nothing I had heard off. German manufacturing and some tech companies were the examples.
Really, I do understand the argument and the investors' desire to make more money. I understand how stocks and investments work. I understand the point of the filing.
Here's the thing. I don't care about the investors' complaints. I don't care that they're not getting as much money as they might otherwise. Hasbro is not an anchor around WotC's neck. Hasbro's financial plans are an anchor around Alta Fox's neck.
Maxperson
Morkus from Orkus
Are you aware that corporations have a fiduciary duty to maximize the money the investors make? If they fail in that duty, they can be sued.
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