Topic: How To Invest

Hi Pat. Thanks for all the investing information over the years. Could I get your thoughts on Technicolor? Thanks.

Article Excerpt

Technicolor SA (ADR), $6.04, symbol TCLRY on the U.S. over-the-counter market (ADRs outstanding: 335.7 million; Market cap: $2.0 billion; www.technicolor.com), has its main listing on the NYSE Paris Euronext exchange under the TCH symbol. This France-based firm was called Thomson SA until 2010, when it emerged from bankruptcy proceedings in France. It was laboring under a heavy debt burden, but it recapitalized by converting a lot of its debt into equity. Technicolor offers a range of services and systems to the entertainment industry, including video production and visual effects. It has worked on major Hollywood films, including all the movies in the Harry Potter series. Major companies such as Sony and LG Electronics also license Technicolor’s more than 40,000 patents for use in their products including digital TVs, smartphones, tablets and digital cameras. The company operates in a highly competitive and rapidly changing industry. As well, its $1.3 billion of debt is a high 65% of its $2.0-billion market cap. However, it does…