hope Sandell has some good PE funds circling now they are getting at least 5 board seats and maybe more. Value of buyout should be at least 70 PPS.
Sentiment: Strong Buy
Their after hours buyback increase was a shameful attempt to deflect the beating they took at the annual meeting. Only the beginning....
increased dividend and buybacks nice hopefully the new board members push for sale this year
Sentiment: Strong Buy
Both sides are spinning today's vote. If Sandell wins BOBE will be broken up and the food processing part of the company will be sold off. Think Hillshire. In my opinion, bobe would get an excellent price and could use the money to improve the restaurant side of the business. Again, I expect a 10-15% pop if Sandell can take control or nearly does.
y2k7trillionover your comment " : I hold no position in BOBE because I do not like city slickers (like Sandell Asset Management ) running agriculture companies." Would you not say city slickers have been running BOBE the past 6 odd years??? Just asking?
Just a note that BOBE isn't an agriculture company and they are not vertically integrated. They process sows for sausage and breakfast sandwiches and potatoes for refrigerated side dishes. They buy raw materials from suppliers. Some of the products they manufacture may/may not be sold to their restaurants. Neither business has grown under Steve Davis' tenure as CEO/Chairman.
Just curious about them.
What I've noticed about hedge funds:
--They recommend breaking up a company so they can borrow heavily against one side and using the funds to enter positions in other companies.
--They recommend acquisitions to benefit via synergies.
--They recommend spinning of companies to expose value.
Isn't all of the above just pushing money around in circles?
Note: I hold no position in BOBE because I do not like city slickers (like Sandell Asset Management ) running agriculture companies.
DINNER ROLLS STOLEN:A resident of Hill St., Pleasant Hill, reported the theft of Bob Evans dinner rolls from her refrigerator. The refrigerator is in her carport. The resident advised the theft occurred approximately one month ago and wanted to file a report.
Send the poor dear a coupon Bob!
Repeated reduction in earnings guidance
Missed consensus earnings in 14 of the last 24 quarters
Consistently poor and declining same store sales
Bloated corporate overhead
Inordinately high SG&Aexpenses
Abysmal returns on invested capital
Failed ‘Farm Fresh Refresh’ remodeling initiative
Industry worst margins
You have to remember the terrible situation that Davis inherited. When someone as educated and connected as Davis is, comes in to take over a troubled company, the shareholders must give the new management time. Davis is implementing strategies that are forward thinking, inclusive, and revolutionary. They take time for the old guard that was entrenched at BOBE to buy in and make the change to Davis's way of doing business. Like staying open all day on Thanksgiving. Just think of where BOBE would be today, if Bob and Dan Evans had the vision and foresight to have done this back then, how much the shareholders would have benefited?? Imagine if Davis had been brought in back in the mid 80's, just think of the marvelous results could have delivered. Give Davis more time. It's kind of like Obama taking over for Bush.