THQ gets some good news

WKR has been keeping a close eye on THQ's financial woes for some time. Today though THQ got some good news regarding their stock fortunes, 

Brean analyst says, "While we believe UFC Undisputed is likely to be a hit, pre-sales for Red Faction Guerilla are off to a slow start and key franchise properties under the WWE and Nickelodeon banners are expected to decline YoY, suggesting FY10 may prove challenging post F1Q results.......... we think THQ shares fairly reflect the strong early reception for UFC Undisputed against the greater uncertainty later in the year. We believe further evidence that THQ's internal development efforts can consistently deliver the hit games needed to drive leverage through the model will be needed for the stock to work higher from current levels."    

Such rankings by analysts is great news for THQ a company that was hemorrhaging money and undergoing a major restructuring. Their stock is still nowhere near its 52 week high of $22. Today THQ's stock is up 4% and is being traded near $6.50 per share.

Good news but once again the company is facing a tough road ahead. 

HT: MMA Payout