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FERL Low-Float Streaming Play w/ Huge Upside

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OTC:FERL   FEARLESS FILMS, INC.
Fearless Films, Inc. (OTCQB: FERL)
Alert Price: $0.033
Float: 18.65M
Technical Analysis (Huge Upside Potential From Here)
Company Website | Recent News
We are closing out this already highly profitable week with another past double-digit winner that appears to be on the verge of bullish breakout!

Fearless Films, Inc. (FERL) should be at the top of your trading screen!

The company could become a big name in streaming content, and currently the stock is trading at less than 4 cents per share!

It is no secret that the streaming arena has been on the rise and with stay at home orders because of the pandemic, the space is on fire!

Names like Netflix, Hulu, Apple and Disney may be dominating the conversation but FERL is looking to name for itself in its own right!

Who would have thought that a decade ago our regimented television timetable, which required us to record shows if we were too busy to watch, would turn into this - a streaming bonanza that allows us to watch the stuff we love whenever we want!

We now enjoy digital binges on the internet and the next ten years is poised for continued growth in the streaming space as it attracts even more customers. We have moved from broadcast video, where everyone watched at the same time, to video-on-demand, where everyone watches on the own time.

According to Stratistics MRC, the global video on demand market was valued at $32.55 billion in 2018 and is expected to reach $161.77 billion by 2027 growing at a CAGR of 19.5% over its forecast period.

Looking back, on January 15, 2007 industry leader Netflix announced that it would launch video streaming. At the time the stock price was about $3.25 per share; it closed at $485.64 on July 20, 2020. An investment in Netflix in early 2007 would be worth 150 times more today! Other big names in streaming have also shown terrific stock performance.

The problem with the streaming leaders right now is that their share prices are in the hundreds of dollars, meaning that you need you to invest thousands of dollars to get a simple 100-share lot! And just by the law of large numbers, fast gains in the stock prices are unlikely. One way to get exposure to this sector is to look to smaller names that might grow much more quickly than the leaders.

There's a stock quietly trading in the market right now at mere pennies that is positioning itself to become one of the winners from the move to streaming. If the company can successfully leverage itself as a rising name in streaming, it may deliver exciting investment returns! FERL is aiming at becoming a long-term winner in the fast growing multi-billion-dollar streaming sector!

Greater Demand for Content

Netflix is spending billions upon billions a year for their original content. According to BMO Capital Markets (h/t Variety), the company will spend $17.3 billion on 2020 content — up from $15.3 billion in 2019. Netflix has also had some expensive flops: the one-season series "The Get Down" cost $120 million and "Marco Polo" cost $200 million.

Those spending levels are formidable, but not enough - with so many platforms looking to acquire and retain subscribers, the need for content has become insatiable: FERL is on a mission to produce quality entertainment that feeds that insatiable demand.

This independent full-service production company is the brainchild of award-winning actor/ producer Victor Altomare along with award-winning writer and director Goran Kalezic!

Movie fans will recognize Victor from the Great Chameleon, Graveyard Story and the Last King. On television you may have seen him in series such as the My Ciccio show, Blue Murder or documentaries such as Mob Stories, to name a few.

Highlights of Victor's voice talent credits include the acclaimed Resident Evil: Outbreak series, including Resident Evil: Outbreak file # 2.

Victor Altomare: "The growth of streaming media has created rising demand for quality entertainment properties. Fearless Films was founded with the idea of producing quality entertainment with project budgets under $6 million. The Great Chameleon is an example of this strategy in action. We plan to advance a number of new projects that are promising and designed to meet the needs of new-era film distribution platforms."

With a stellar rating on IMDB, The Great Chameleon is a bawdy comedy with dramatic overtones in which the FBI secretly releases master of disguise con man Joe Murky (Victor Altomare) from prison to track down his abducted niece.

With the assistance of his long-time cohort and eccentric make-up artist Max; Joe Murky, aka: Great Chameleon will reach into his whole bag of tricks with his off-the-wall style of disguises as he nears his target. All the while, Murky is hampered by the overzealous parole officer Curry, who has a personal vendetta against him. The Great Chameleon is a crime story with plentiful laughs, and a fun-to-watch experience.

The film has streaming distribution through Amazon Video (UK) and is also available for rent or purchase on Amazon Video, along with Google Play, iTunes, YouTube, and Microsoft XBox platforms. Imageworks Entertainment International, the agent for the film, recently obtained US distribution via Amazon US.

It was in April that the company confirmed its ownership of full rights to The Great Chameleon and it is the first production by Fearless Films. This film forms the cornerstone of the Company's library of intellectual property!

Network TV and the box office films are trying to stay relevant and these entertainment leaders are taking a different approach now: streaming.

Many are looking to seize on the long-term trends of cord-cutting and over-the-top streaming and FERL is already on the map as a top independent producer winning accolades at major film festivals and with a keen eye for emerging talent!

FERL is an independent full-service production Company founded by award-winning actor/producer Victor Altomare along with award-winning writer and director Goran Kalezic. The service scope specializes in short film and feature film production in addition to script writing, copywriting, fulfillment and distribution.

All work created by the company is a unique idea, embodied into life by talented operators, editors and designers. The company can also realize any task associated with video production.

It was in the fall of 2019 that FERL signed a Letter of Intent with Victor Altomare, the founder of the company, to acquire the rights to up to twelve movies from a library held by Altomare, who is also the President of Fearless Canada, the Company's operating subsidiary. Among the films being considered for acquisition are The Lunatic and Bag the Wolf.

Under the terms of the LOI, the acquisition price and consideration for each film will be negotiated separately and payable in cash and shares of the Company, subject to negotiation of the Definitive Agreements and the obtention of mutually satisfactory independent appraisals of the value of each film.

It was in December that the company gave an update and said that it is continuing with its efforts to position itself within the film production industry as the advent of streaming media has created rising demand for attractive content.


What Lies Ahead?

FERL has completed the S-1 registration process for its $5 million equity financing facility with Crown Bridge Partners, LLC.

Funds from the facility may be used to develop the company’s balance sheet by providing capital to complete the acquisition of a film library, enable the Company to participate as a partner with other film producers, and complete its own film projects.

The facility may also be used to repay debt and to provide capital for general corporate purposes. Seth Ahdoot, member of Crown Bridge Partners, LLC, stated “Fearless Films, Inc. is unique and attractive to us on several levels, including but not limited to our criteria for quality of management and growth potential. Crown Bridge Partners is looking forward to playing a supportive role in the company’s future growth.”

Recent Developments

Announced progress of development of their first full-length feature film, "Young Gangsters of America".
Boosts leadership for next phase of company development
Acquired the film script Dead Bounty, another significant addition to the company's growing portfolio of films and intellectual property
Announced that it will be applying to list its shares on a stock exchange in Canada, in addition to its current listing on the OTCQB market. The Company has decided to take this step to access a wider pool of capital as well as to increase liquidity options for its shareholders.
Closed a private placement at $0.15, which is about 50% away from where it sits now and a 22% premium to the Company's 20-day volume-weighted average trading price. That’s a strong statement buy the investors behind this money.
Agreed to acquire the award winning film Only Minutes, a significant addition to the company's growing library of media titles in an all-stock transaction. The purchase price was not revealed. The transaction is expected to close during the third quarter of 2020.
Acquired FilmOla.com to add additional revenue and distribution. FilmOla is set to capitalize on the global movie and film industry; the global entertainment market hit $100 billion for the first time in 2019 as streaming kept making huge gains, according to the Motion Picture Association's annual snapshot.
Why Fearless Films?

Huge Industry: $184.3 billion by 2027

FERL is operating in the global video streaming market that is growing at a CAGR of 20.4%, and the total value of streaming is expected to reach a value of USD $184.3 billion by 2027 according to Grand View Research, Inc., meaning that providers will need to up their spending to offer new, diverse & original entertainment options for their customers.

Huge Opportunities

Companies like Amazon, Netflix and Hulu are spending upwards of $40 billion towards new original content, creating massive opportunities for companies like FERL to meet the demand of these industry powerhouses.

Successful Management

FERL. has an experienced and successful management team that will help to further expand its product offerings

People Are Cutting the Cord and are Streaming!

EMarketer forecasts that cord-cutting will grow to 76 million households in 2023 from 46 million in 2019. The company also suggests that pay-TV household numbers will fall from 86.5 million last year to 72.7 million households in 2023.

The omnichannel platform, partnering with Harris Poll, found that the average cord cutter has 3.2 streaming services.

According to nocable.org, in 2018, there were almost 171 million subscriptions to streaming services, which increased by 6.9% in 2019 to 182.5 million. OTT services such as Netflix, Hulu, Youtube TV and Sling lead the way here and are still expected to headline a list of streaming services that will net a total 191.5 million subscribers in 2020.

Some More Statistics...

According to Leichtman Research Group the top pay-TV providers had a net loss of about 1,740,000 subscribers in Q3 2019. This marked the fifth consecutive quarter of record pay-TV industry net losses.

The proliferation of on-demand streaming content and the decreasing pressure to watch a program the moment it airs has led to a continued shift in consumer habits. Among content types, video on demand now dominates, up 76% year over year in viewing time and live video has grown 32% over the same time period.

Over 60% of Millennials and Gen Z consumers stream video daily!

5G Could Also Make It A Lot Easier to Stream!

5G technology is just around the corner and could be revolutionary for streaming. The tech could be a game changer for high speed data access wherever you go. Streaming is positioned to become faster, smoother and easier, especially in homes with multiple devices.

Optus vice-president of TV content and product development Clive Dickens has said, "Because 5G operates at such high speeds, it can actually match the growing realm of video streaming." Early figures suggest viewers will be able to download 4K movies in a matter of seconds, and buffering video will be a thing of the past!

THE BOTTOM LINE

The current pandemic is showing the world just how desirable streaming services are.

"Overall U.S. streaming penetration accelerated significantly in 1Q tied to the self-quarantine and stay-at-home orders across the country," according to a report by MoffettNathanson, an independent research firm.

FERL is leading the way in showing that you don't need billions to produce good content and could be on the road to becoming a leader in presenting amazing entertainment to the masses.

How to gauge investor interest in the streaming market? In the last twelve months Netflix went from $317 to nearly $575 and streaming device maker Roku went from $107 to $239!

There is plenty of interest in online viewing and the proof is the stock performance of the leaders.

The landscape of entertainment has drastically changed from a decade ago. To capitalize one must find the best opportunities in streaming video…

As a New Opportunity in the Streaming Sector, FERL is Looking to Take Advantage of the Multi-Billion Dollar Content Gold Rush!By Viewing this Content, you Agree that you Have Read and are in Full Understanding of both our Disclaimer & Privacy Policy(*Remember to use a Stop-Loss Order to protect your gains, as well as limit possible losses.)

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