how is it justified for kors to trade around the pre earnings level?
the continue the strong growth momentum, strong guidance, taking market share from competitors, expanding margins, shrinking forward p/e as a result. the share price is trading below pre earnings level, and well below the secondary offering. look for a bounce tomorrow.
No it's not justified at all. You can thank Michael Kors and friends for that. This time there really isn't much else to blame.I wish I had gotten out when I had the news of the insider sell. These last two years I seem to keep owning stocks where management is the main enemy :-(
Of course this is not justified, Forget about the weak market these last couple of days & gaps being filled, does anyone out there actually think we would be at 57 after blowout earnings & hitting record highs last week of 65 if it wasn't for the SPO & the SPO ONLY!?
We can debate the insiders motives forever but it won't change anything, however when you decide to go public your first priority is to the shareholders & not for the inner clique, but perhaps thats only in a perfect world.
In the meantime all stocks have insider selling (although this is excessive if you include the IPO it's an astounding 4 times in 14 months!) but it is what it is, this is an amazing company who is growing while it's main competition is struggling & has barely reached out overseas.
Still expecting good things but it won't be overnight. Then again I'm not looking for instant coffee, lol.
insiders look for profit just like everyone else. just that the are insiders and they own a lot of shares. outsiders simply react because the fact insiders could know more about the company. but in some cases, as in this one, they simply want money. the guy has been selling since last year. so not a surprise. but the stock has been going up each qtr. steve balmer sold millions of shares in msft worth billions. but does it mean something is wrong with msft and its fundamentals? no. just an example...there are many others. people need to understand the stock they are holding and not buying into what the other guy says about the stock. for now, i'll give kors the benefit of the doubt, simply because of how the company's business is doing and how the stock has performed since its ipo.