RE:RE:RE:RE:Another record monthBy making a few premature announcements that created buzz and a stock run up; while ultimately Virtutone did not deliver on their promises.
1) They previously announced a 7 million dollar line of credit that never materialized
2) They announced vastly improved margins from 3% up to 6%. Unfortunately the trend in higher margins was short lived and Jason made his announcement based on the assumption Virtutone's 6% margin would continue. Again unfortubately that was not the case. I believe management has learned from their premature announcements and are well on their way to remedying previous hiccups. As Sir Holler pointed out, with this current quarters numbers we are due for an increase in share price even before considering the new LOC and improved margins.
Basically, Fabrice didn't like being let down by premature announcements and got tired of waiting for plans to come to fruition. A person in his role has the right to abandon a pick like he did. Do I think he was too impatient and is missing out? Absolutely. But I CAN understand his frustration. I felt it too. But I have faith that given the time this stock will be well worth the wait.