A Blockbuster Free-Fall
Not today. Today, and ever since Wednesday's press release, the company's stock is taking an absolute beating. At the time of this posting, Blockbuster's stock is down to 43 cents -- almost half of its worth two days ago. A "downward spiral," as The Street calls it. Moody's said today the company likely has enough capital to make it to the end of the year, but then what? And Standard & Poor's Ratings Services just lowered its outlook for Blockbuster -- from stable to negative, "one step above highly speculative territory." Meanwhile, Redbox is test-marketing renting video games out of its parking lot kiosks, Netflix is making deals to stream over the Wii, while Blockbuster earlier this week sent word it's putting its Express machines in Brookshire's. That's losing more than just the PR battle.