byhiselo, if I were long CFLO, I would seriously consider cutting it loose immediately. The company blamed on the economy but the fact of the matter is their equipment just can't handle what customers want, so customers are leaving, not coming. WS expected revenue of 43 million, they did less than half. It is exactly the same story with TLXS, CRDS, ZOOX, TERN to name a few. And now CFLO is aggressively laying employees off, it will help to lessen the blow to the balance sheet in the short term but make it more difficult to tackle the underlying problem that created the mess in the first place . It's a lose-lose situation for the company and shareholders. Management's credibility is put under the microscope. In the last quarterly CC, the CEO was all gun-ho, telling how they were taking market share from INKT. Ain't true, we now know.
We'll hear more when they report on 2/14.
I'll add to my shorts tomorrow and see it down to single digits.
I hope you don't take this the wrong way. It's how I feel, right or wrong.
Regards,
Tom |
