RE:RE:RE:Let's talk about what CXR managment should/could be doing.Totally disagree with this sentiment.
First of all, when the price dropped to $30 and then to $25, the CEO was front and centre, explaining the market had it wrong and that he would be buying as soon as he was legally able to. And then he did.
The current drop in the stock price is different, it has been initiated by market factors. It has happened at the same time as a big drop in the S & P 500 and in the sector. Because of CXR high debt and high beta it was hit harder than others.
I do not feel it is the CEO's job to be a cheerleader for the stock on a daily basis. His job is to build shareholder value. Not only that, I do not think his getting out there and trying to talk the stock up is going to do ANYTHING in this market. What is going to help the SP is executing well. They are communicating exactly what they should be, they are reiterating guidance, telling us to expect increased growth, and telling us they are going to be aggressively paying down debt.
To compare this to what has happened with Valeant is not really relevant. CXR is not facing a crisis the likes of which Valeant was facing. The only thing that is impacting the value of CXR is the corresponding stock price of it's peers.
If anything they seem confident in their plan, and IMO the fact that MT is concentrating on growing the company makes me much more confident in their direction than if he were on television daily trying to talk up the SP.
Please, what would you have them do? Reiterate guidance? Say the stock is undervalued? That they will pay down debt? Tell us how they are planning to grow going forward? They have done all these things.
Marcel
select1011 wrote: This is all correct and its a really a great summary. But is share price is falling. I think I provided some good ideas. There is no promise in my view, in my investment portfolio, that we will return to upside SP, with a CEO and management team who has not responded to a 70% decline in their performance metric. They are not showing that that can mange a global company. Does the board have global experience? Does the management team? You and me are in real time investing, and the CEO and IR are still communicating like he and they are at an SP over $100. Same thing happened to Pearson at VRX.