Global Warming 1, Human Beings 1

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Who’s to Blame for Global Warming?

A common issue nowadays is understandably global warming, with the big question being are we, or are we not guilty of causing the warming of the planet?  While no expert on the subject, with my science background (physics) and being a longtime reader of Scientific American, my own feeling is this: global warming is inevitable…

…BUT we can certainly aggravate the process by emitting carbon dioxide (or whatever) and doing whatever bad acts result in global warming.

Thus, my conclusion is that it is useless to curtail everything in order to stop global warming. It’s going to happen. It’s a natural cycle.  But, on the other hand, it doesn’t help to act to aggravate it.  An analogy?  Eventually we are all doomed to die, but it is our responsibility to live well in the meantime, and to prolong our lifetimes in REASONABLE manners.  To act as though we can live eternally by doing everything perfectly is delusional.  Likewise, to reduce emissions to zero and take other acts that harm our lifestyles is delusional.

Have a great week,

Michael Emerald, CFA

Wall Street analyst and owner, Performance Business Design

Imagination Park scored 57% in Business Performance. We’d like to see a better sales campaign.

IMAGINATION PARK BUSINESS PERFORMANCE: 57% July 2017

 

PERFORMANCE RATING

ASSET PERFORMANCE FACTORS (all are 1 to 10)

 

COMPETITIVE AND INTELLECTUAL PROPERTY RISKS  2 I’m not an industry expert here, but I have to believe there are a lot of content producers selling to Hollywood studios.

 

PRODUCT MIX 10

They have a well-chosen blend of music, script, all tailored to the new environment for movie production.  Makes sense.

 

PRODUCT VALUE 3

Sounds good, though I have to believe the writer-in-the-basement, armed with a computer and software, can also produce original content cheaply.

Still, there ties to both people and places (namely India) is noteworthy While I resist thinking this way, the fact that none of 20 content packages haven’t been sold yet tells me it is a rocky road

 

EXTERNAL FACTORS

 

MARKETPLACE (supply/demand, financing environment) 10 Very timely, given that major studios are craving cheaper content

 

PEER VALUATION 10

This is an original story.  All the others are enormous companies.

 

BUSINESS STRATEGY (and operations) 5

Sound, though I’d like to here more nuts and bolts detail of selling the packages and getting the new venture launched.

 

INTERNAL FACTORS

 

MANAGEMENT (Ownership, g&a) 10

G&A of 700,000 is 8% of Market Value which isn’t low (I prefer 5%).

Although, this is mostly because of the low valuation.

Personalities ar appropriate for the Hollywood world FINANCIAL STRATEGY  (cash, overhang) 5 Cash to last less than a year with little talk of additional financing isn’t good.

Minimal option warrant overhang, about 10% The previous balance sheet was a mess.  This is both good and bad.  The good is that the new CEO seems to know how to run a company.

 

MARKETING AND OPERATIONS (including project management) 2 Not enough detail on timelines and milestones No discussion of marketing, sales and ramping up staff

 

Categories: Motion Pictures