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stervc

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stervc

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Monday, 03/10/2008 2:06:18 AM

Monday, March 10, 2008 2:06:18 AM

Post# of 97239
Analyzing the Recent ADCS PR…

From further reading the ADCS PR released this Friday, I think the $25 Million in Revenues is very doable. I know it sounds like a lot, but see it like this. If you truly believed that you or your kid had some talent to be witnessed throughout the entertainment world… Would you pay $25.00 to video this talent and have submitted for a chance at a $1 Million recording deal?

Let’s analyze this Friday’s PR by ADCS:
http://biz.yahoo.com/iw/080307/0372026.html
Advanced Content Services First Year Revenues Could Top $25 Million
Friday March 7, 10:10 am ET

The PR stated…
…announced today that the company's first year revenue could top $25 million. …

Given a fair and conservative 25% profit margin since Expenses are unknown at such time, let’s figure 75% of that $25 Million will go towards Expenses to give us the 25% profit margin that I will later use. Given the Expenses that I think are required to run their operations, I think 75% of $25 Million is more than enough. The 25% profit margin gives us Income/Profit in the amount of $25,000,000 x .25 = $6,250,000 for Income

The PR stated…
…With a potential 1 million contestants entering over the course of this next year, the Company projects revenues could top $25 million. …

This means that they are going to charge each contestant $25,000,000 ÷ 1,000,000 Constants = $25.00 to be entered into the contest to win $1 Million.

Heck, my family doesn’t like my singing, but for $25.00, I might video myself singing just in case my family is wrong about how good I think I sound (LOL)! I think the responses to what they are offering will be overwhelming just by thinking about the many people that watch and wish they could participate in American Idol. This would be the best that many would get for accepting reality for better for worse for making the effort.

The PR stated…
…There will be 2 contests per year and each final winner will win a cash prize and a $1 million recording contract with a major record label. …

Now we must ask ourselves… Who is this “major record label” that is spoken of?

I think getting the interest is definitely not going to be a problem. From the link below:
http://www.wkrn.com/nashville/news/has-american-idol-become-too-cruel/72480.htm
…“American Idol” is breaking records as nearly 40 million people watched…

The potential here could be bigger than American Idol and who knows, once they get word of what is happening, they might want a part of this as one could easily see how both American Idol’s and ADCS’s business plans could help one another. From doing further due diligence (DD), I think the potential here is huge with ADCS.

v/r
Sterling


Sterling's Trading & Investing Strategies:
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=29867262

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