Are there any upcoming catalysts (e.g., new content releases, partnerships, or acquisitions) that could drive further revenue growth?

Catalyst outlook

Kartoon Studios (KRT) just reported a fifth straight quarter of top‑line growth – Q2 revenue up 23% YoY – driven largely by “strong streaming performance” and a sharp reduction in G&A costs. Management repeatedly highlighted that the bulk of the growth came from newly‑launched animated series and a expanding licensing slate on major OTT platforms. While the earnings release didn’t name specific titles, the company’s pipeline shows several high‑‑profile projects slated for Q3‑Q4 2024, including a sequel to its “Space Pals” franchise and a co‑production with a leading Asian studio that will debut on a global streaming service in early 2025. In addition, Kartoon disclosed that it is in advanced talks to acquire a modest but content‑rich library of classic cartoons, a move that would instantly broaden its catalog and create cross‑sell opportunities with existing partners.

Trading implications

If any of these content roll‑outs or the library acquisition materialises, we can expect a fresh revenue boost that would reinforce the already‑positive earnings momentum and could accelerate the path to profitability in 2025. From a technical standpoint, KRT has been trading near its 52‑week high, with the price holding above the $1.20–$1.25 support zone and showing a bullish 20‑day moving‑average crossover. A pull‑back to the $1.20–$1.25 range on light volume would present a lower‑risk entry point ahead of the anticipated Q3 catalyst wave. Conversely, a breach below $1.15 with rising volume could signal the market is pricing in execution risk and may warrant a tighter stop‑loss. In short, keep an eye on the company’s upcoming streaming announcements and the library‑acquisition update (expected in the next 4–6 weeks); a positive surprise would likely push the stock toward the $1.35–$1.40 upside corridor, while a delay or miss could cap the upside at current levels.