If the Miami Heat Went Public…

Posted by on June 24th, 2013

Thursday night, when Lebron James lifted not one, but two trophies over his head, I was remind how just a few weeks ago, I was up in Binghamton, NY, savoring what little I had left of my lackadaisical college lifestyle. In an effort to battle the entrapments of senioritis, my fellow fraternity brothers and I would often engage in various meaningless debates; ranking sports icons, movie characters, music artists…the list goes on and on. The most intense arguments occurred when we’d have these hypothetical cross-culture debates, comparing how individual icons from each genre relate to each other. They would sound something like, “If Lebron is the Drake of basketball (love to hate him but he’s really the best in the game right now), and Kanye is Kobe (a little obnoxious sometimes, but you have to respect his work), then who is Tracy McGrady?”

Unfortunately, there isn’t enough time in the day at my new job to have these types of ground-breaking debates. But, now that I can officially call myself an Investor Relations professional, I figured it was time to adapt, and apply this meaningless knowledge to something a little bit more relevant.

So, here it goes.

If we’re talking publically traded companies, the Miami Heat are without a doubt Apple, Inc. (AAPL).  They re-introduced their product line, and established themselves as industry leaders; undergoing an instantaneous increase in share value.  Of course, it all started years ago with the unveiling of the iPod (Dwayne Wade).  But the company really established itself as an industry leader when they applied the same product design and ingenuity to their other products: the luxury commodity, the iPad (Bosh), and of course the most popular piece of technology on the planet, the iPhone (Lebron James). This strategy has paid off, especially in recent years with the advancement of their technology (Back-to-Back championships).

The San Antonio Spurs are a small market team that always has huge expectations…I say they’re Berkshire Hathaway, Inc. (BRK.A). Investor confidence revolves around one individual component of the company, Warren Buffet (Tim Duncan). He’s consistent, he’s old school, and he knows how to generate substantial return (4 Rings).

My team, the New York Knicks…they’re Facebook, Inc. (FB). Their IPO (trade acquisitions) this year was huge news, but it did not even come close to living up to the hype in terms of share value or generating investor return. However, it didn’t really affect their value as a brand, seeing that they still maintain one of the biggest markets. Also, recently acquiring Instagram (Carmelo Anthony) was huge for the company. It really opened up doors for the company to grow; and perhaps eventually dominate the entire market (Vine had a good run).