How you get information on a firm sort of relates to how other peaple get their information
about the busineses major wall street types like an anaylist may have his own special computor network and e-mail information
that tells him about things that only come to light hours or even days before other peaple that donot have such a window get
their information. Tinkerbell once was thinking about how stock splits work and found out that a company can even regain control
or keep control by printing and selling more stock or by buying back stock,but there is some dicussions about buy backs as
they are called. Hes not sure how this works either because if you need to generate more funds buy selling more equity you
must be able to have the share offered underwritten by some sort of underwriter unless you can afford to underwrite the sale
of the stock as a company yourself and then your kind of wondering why that would be done if your trying to bring in
new blood and investment into the corporation.
When your a company that earns 60% or more from operating instead of investments (we mentioned
that earlier) then from what we here about on tv about pensions and IRAs and the former is going the way of the latter
what kind of exposure to the IRA's are going to effect your business operations your core business your strategic plans?
OUTLOOK
**** Does the firm have the potential to grow?
**** What is the firms outlook ?
**** Is there reason to believe that the firm can achieve its goals ?
When using anannual report to obtain information about a firms outlook, there is an art to extracting
that information.
Most businesses ( even the most efficient ones) are trained to use a positive tone when communicating information. Thus,
the term excellence shows up in many mission statements, wheather the firm is excellent or failing. Some firms seem to spend
more time on promoting themselfs then on achieving what they promised in the annual reports.
Exposure to the Economy
****How sensitive is the firms performance to economic conditions?
****How sensitive is the firm 's exposure to Industry conditions ?
****How sensitive is the firms performance to global conditions?
****Management- A firms performance is highly influanced by its key decision makers. An understanding of the backgrounds
,structure,and incentives of management can help determind wheather the decision makers have the skills and incentives to
make good decisions.
With the news on the TV lately there is a topic on the discussion of wheather or not equity
investments are good to invest in since this summer has progressed in the news.When Tinkerbell thinks about selling equity
in his company he kinda wonders how this new risk information on equity investment will effect his looking for investers in
his little spaceship company with a big spaceship idea.Will they lauph at him, will they mess stuff up so all business is
difficult,Tinkerbell watches the business channel and wonders.
So Tinkerbell had some things to think about first was he going to be lauphed at when he explained
that his idea was to have his spaceship design fly backwards into outer space! You have to of studied the idea a little to
kinda grasp the reasoning behind it.But if it would work the payoffs in airplane-spaceship design were very very fabuliously
in the big as you mite say.Actualy the story gets interesting as we enter the thought in the matter as to what you can do
with the needel in the haystack of a design,how much is possible? How big does it have to be?And what do you need to make
it work.Interesting it was to say the very least.Tinkerbell was lonley too he hadn't seen or heard of Karla in a long long
time and he was heart broken over not being around Debbie he almost new too much how this invention of his mind had possibly
caused trouble in the ranks.
You must sort of understand that the design allows the space-airplane vehical to take off from
a runway and enter into space orbit.This the fact that it can take off from a runway instead of a launch pad make things to
an extent even though formidable in some aspects much easier and with the possibility of being less expensive to operate and
work on or do maintenance to the vehical.The fact that the fuselage and wings are of a WW2 design means you have the possibility
of carrying more fuel in volume and weight then in other spacecraft configurations.This was Tinkerbells idea and one that
Tinkerbell thinks that Helmut Lent thought about in the 30's and 40's during the world war.