Geac ranks as one of the world's largest software companies. It provides mission critical software and systems solutions to corporations around the world. It's solutions include cross-industry enterprise business applications for financial administration and human resources functions, and enterprise resource planning applications for manufacturing, distribution, and supply chain management. As well, Geac provides industry applications to the hospitality, property and publishing marketplaces, plus a wide range of applications for libraires and public adminstration.
Geac acquired 7 businesses in fiscal year 1999 (April 30, 1999) and 11 businesses in fiscal year 2000. However, the acquisitions have not resulted in revenue and earnings growth as expected. Despite sales of 990.1 million and 0.79 EPS for fiscal 2000, the stock is currently trading in the $2.00 range. The chart below shows the "ugly" suffered by shareholders.
stockcharts.com[h,a]dhhlyymy[d19960501,20010331][pb50!b200!f][vc60][iLa12,26,9]
In October 2000, John Caldwell was appointed to lead the company to "optimize performance and maximize shareholder value". Will he be able to eventually lead the company to profitability and good health? Will the history of acquisition debacles repeat itself? Will the board members responsible for the significant destruction of shareholders' wealth remain as policy makers and stewards of the company?
This is your thread to discuss and follow the saga as Geac rebuilds itself. Tell us how you feel about the company... the good, the bad, and the ugly.
p.s. The thread is moderated to prevent certain well know trouble makers in the SI community from harassing and disrupting others. All opinions are welcome... buy, hold, or sell the stock.... and please tell us why. |
