Press can give any spin to this earnings report that they want.
First, it was not .05, but .14. Second, the guy is an idiot for having such high expectations, when CREAF explicitely stated revenue and margins--and came inline with both. Third, the drop is largely a reaction to the 4.5% drop in the US before earnings were even announced!
If you listen to the CC, they are cautiously optimistic, and view current estimates as conservative. Meanwhile, the stock is trading at near book value, with $4.50 in cash! Inventory showed major improvement in the quarter (I forgot to mention this before), too.
At $11/share, with a rock solid balance sheet and conservative estimates of $2.20 for next year, CREAF is a no brainer.
Brian |
