Topic: How To Invest

Hi, Pat: It seems 3D technology is all the rage today in movies such as Avatar, in IMAX and in home entertainment. An article it the Star, entitled “Canada’s 3-D team at the World Cup,” talks about a Montreal company, Sensio Technologies, that is attempting to “capture the live events market” by getting the 3-D broadcast rights for the World Cup in South Africa, as well as 20 live concerts and sporting events a year. Is this a company that shows any promise for an investor?

Article Excerpt

Sensio Technologies Inc., $1.67, symbol SIO on Toronto (Shares outstanding: 51.6 million; Market cap: $86.1 million), develops and markets three-dimensional (3D) digital compression, decompression and display-formatting technologies. The company’s major customers include filmmakers, video-game developers, broadcasters, specialty channels and movie theatres. Sensio’s main technology, SENSIO 3D, lets broadcasters distribute 3D content through conventional 2D broadcast networks (including cable, satellite, and/or Internet-based television services). This content can also be played on any 3D-capable device, including plasma TVs, LED and LCD high-definition TVs, computers, glass-free 3D displays and digital-cinema projectors used in homes and movie theatres. SENSIO 3D is compatible with standard DVD and Blu-ray players, as well as game consoles, including Xbox and PlayStation 3. In its third quarter, which ended February 28, 2010, Sensio’s revenue rose 32.2%, to $24,018 from $18,173. The company lost $1.2 million, or $0.0245 a share, compared to a loss of $660,769, or $0.0187 a share, a year earlier. As of February 28, 2010, there were 281 3D-capable…