Howard Sutton
Kangaroo Media Inc.
KTV-X
DON'T BUY
May 24, 2006
A device that is currently used at sporting venues, basically a little monitor with a headset, giving additional coverage. There are other companies that are developing similar technology on cell phones. Has gotten ahead of itself.
Makes a handheld video device that allows spectators to watch different camera views on sporting events. Have signed some good deals. Great prospects. Would buy on this pullback.
Did exceptionally well and reached $8 but has dropped dramatically. Underlying business is exceptionally strong. Have had a few missteps, an option pricing issue which will prove to be nothing and had to restate sales figures.
A great concept and the product is wonderful, but has been a loser. Acceptance has been massive. They were going to a full fledge retail launch with Sprint/Nextel for last year’s Nascar series, but Sprint/Nextel couldn’t get their act together so it’s been delayed one year. Still likes the long-term story.
Have a small device that allows a viewer to watch sports events while you are attending. Possibility of a deal with NASCAR. Still early stages. Very speculative.
Manufacture handheld devices for watching sporting events, etc. Started with Formula One and are going into other sports. The big problem is they need to find partners to either sell the device or produce the programming. Not sure the end market is very big for this and the margins are high enough.
This one did not work out. Its product was incredible but they where a slave to their largest customer. Stock price is the same as it has in cash, so it wouldn't sell it right now.
Consumer acceptance has not been as strong as anticipated. There were a number of downgrades near the end of last year. Have about $.75 per share in cash. He prefers Growth At a Reasonable Price (GARP) but thinks it has been oversold. Currently they do not have her earnings.
Handheld device that allows you to watch Nascar and other events. Working towards golf. Interesting product but difficult to see how they are going to have a lot of sales.
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