Peloton advert: Could British tech company BlackBird be worth investing in?
Buying shares is mostly about timing and now could be the perfect time to snap up Blackbird.
Blackbird edits the virtual classes for fitness craze Peloton, which floated in New York this year.
Peloton hit a storm last week after the firm was mocked on social media for being “sexist”, “out of touch”, and even “dystopian” for its latest Christmas advert.
The ad sees a woman receive an exercise bike for Christmas from her husband and she then records her workouts over the following year in a vlog and presents it to him as a way of saying thank you. “A year ago, I didn’t realise how much this would change me,” she says. Peloton said critics misread its inspiring message, adding that it wasn’t sexist. Peloton shares fell 9% in one session, while Blackbird also lost by association.
But Blackbird is solid and deserves to be backed. Revenues are not huge yet but it is building up a decent-sized client base.
The firm is looking to land larger, longer-term deals with sports rights holders and broadcasters for editing, and is also involved in new areas such as esports tournaments and social-media channels where video-clip tools are essential. Last month it signed a multi-year deal with Bloomberg. Another big client is the US Department of State.
Corporate governance is also strong and in May it hired Dawn Airey to the board as a non-executive director. Airey was chief executive at Channel 5 and has 30 years’ experience in television.
Backers include Miton, Schroder Investment Management and Canaccord Genuity Wealth Management.
Don’t be put off by the fallout from the Peloton saga. This stock is worth a look.
