Introducing The ‘Brave’ Index

We’ve had fun tracking the companies that might benefit from blockbuster hit movies, and now we’ve set our sights on the new animated movie by Disney (DIS), “Brave”.  The movie, which focuses on a young Scottish princess’ fight against her parents’ plan for a political marriage, was animated and developed by Disney’s 2006 acquisition, Pixar.

Despite what many likely assume, the film is not only about a girl’s struggle for womanhood. It’s about a world of action and independence, and both girls and boys will be able to relate to the storyline. The movie steps away from the traditional “shining knight” male character that saves the day, and the main character, Merida, leads the resolution of the story.

The movie was released to theaters this weekend and made over $80 million in ticket sales, according to Reuters. It beat other new releases, which brings the 13th consecutive #1 opening to Pixar.

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Movie releases tend to open revenue streams to a wider range of consumers than original demographics would suggest. Children who want to see the movie will most likely be accompanied by at least one parent, girlfriends will often bring boyfriends, and adults who grew up with Disney movies sometimes enjoy reminiscing or keeping up with the newest releases.

Further revenue streams can be found through sequels, which can be hit-or-miss, and also licensing for toys and other merchandise. Children usually want to relive the fantasies with their own ideas through action figures and stuffed character replicas, and Halloween presents a reason to buy costumes, candy, and other memorabilia.

Many different companies can jump on board the train of a new release, and many of them profit from it. For instance, you might not remember the movie “O Brother, Where Art Thou?”, but you’ve probably heard a Soggy Bottom Boys hit from the movie soundtrack. In fact, the soundtrack surpassed the success of the film, according to IMDB.

Use Kapitall tools to analyze some of the companies that might benefit from the success of this film. Do you think they will all capitalize on the new film?

Use Kapitall tools to analyze some of the companies that might benefit from the success of this film. Do you think they will all capitalize on the new film?

Interactive Chart: Press Play to compare changes in market cap for DIS, AMZN, HAS, MAT, and IMAX:

Interactive Chart: Use the Turbo Chart to compare the stock performance of DIS and AMZN against the performance of the S&P 500 Index (SPX):

(Written by Danny Guttridge)