As far as a replay of the CC, I don't know about that. Motley Fool doesn't list it yet, but you might check later in the week. By the way, I misspelled Mr Trabelsi's name in my summary (sorry, I was overwrought).
You stated "One can not take managments word and decide to plow more money into a company based on management assurance."
True for small companies with little inside ownership. In this case insiders own 3 million shares. This generates a lot more trust with me.
I will hold on to see the annual results, which are supposed to meet current estimates! The nature of this business is such that quarter to quarter, results are not very predictable, because these sales are not on volume, they are largely on high priced items. On an annualized basis, growth has always been rock solid, and I just can't convince myself that Asia changes that pattern significantly. So, I tend to believe mgt when they say asian sales are delayed, not gone, and tend to believe that sales can come back strong soon.
As for "the stock is dead money for at least 4-6 Q's," my opinion is that the stock builds a base around $13-15 for 2, maybe 3 quarters, then tests $18-20 by spring next year, but as with your prediction, it's just a guess. The stock is quite volatile in both directions. I don't see it staying at $11 for long.
What do you think the impact to the current earnings will be? I would think the market already assumes it's (the quarter) going to be a loss. The key will be how well the company cut costs in the wake of Asia, but I'm the last person to know what Wall Street expects... |
