Post by
Northforce13 on Nov 08, 2022 12:53pm
C class management
That's how I feel about HCG. Management, board of directors are weak.
A positive is influence of deep value investors holding significant positions, driving divs, buybacks, etc. Unfortunately they don't run they day to day.
6-7 mil writeoff of software costs gets attributed to "adjustments" and they pretend their earnings are higher, like as if that lost money isn't lost.
Interest finance costs amongst highest in the industry, as they bear their chests proudly about getting as much of their deposit base on board their higher cost platform vs third party.
Focus on minimizing lost interest cost savings accounts in preference of above.
Etc etc. None of the points are major, but this bank is NOT well run. It isn't horribly run either. Just pretty below average mediocre at best. Guess that's why it's cheap -)
The old CEO prior to the supposed "fraud" was probably 2-3x as good as Yousri Boneheada. ;-)
The only fraud was on the part of a chicken farmer in the U.S. pretending there was fraud.
Then that clown tried to sue the company for millions because he felt like the share price should have gone down more than it did.
Prior CEO who did pretty much nothing unreasonable lost hundreds of millions, his job, his rep, because of that A-hoole chicken farmer.
Have owned this before, might again, keeping a close eye on it.
Various thoughts above on my perception of various issues.
GLTA