"Separately, the Company does not expect to achieve it's previously announced guidance for fiscal year 2016."
This all pisses me off for a few reasons. One is I don't see why they wouldn't have caught the revenue issue before. If not then shame on them and it highlights carelessness. I don't care if there will be zero net revenue changes, just shuffling to different periods. Also in one news release this morning it stated both the CFO and CAO have announced resignations in recent months. While I normally don't follow that type of news I feel some dots are now being connected. When I see that I start to think it's likely they both new of the issue and decided to leave while the going was good. Also it then seems plausible they were condoning of the issue and decided to go along with CEO/Board pressure to skew results. Then when it seemed they could no longer keep it up they leave and the company is forced to announce they'll miss earnings like they did today.
The announcement they'll miss earnings is really angering. Just in May the company stated Q4 non-GAAP EPS should come in at $2.00-$2.04 . How big of a miss this will be is going to be fun to watch. Of course not fun for the portfolio!
So now I have 3 options.
- I sit tight and wait to see how this all pans out.
- I sell.
- Or maybe the craziest option I buy more right now because they company is over $1 billion cheaper than it was yesterday.
I'll have to think about what course of action I'll take, and I'll update this post when I do decide. Might take me an hour or a week. Tough decision as I really liked the potential here, especially after the WWAV buyout.
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