I listened to the call. I was/am very concerned about CODI's AFM business. It's not just that it's a loser, but it didn't seem that either the CEO or CFO understood why it's a loser or have any reasonable plan to deal with AFM. That would have been red flag number one to analysts: the CODI execs are supposed to be operating guys... they didn't sound like it.
The second issue I heard related to CODI's FOX holding. There was concern about FOX's sales in the first two quarters not being replicated going forward. While true, that's a function not just of bicycle OEM firms ordering, but that they are ordering earlier than in years past for myriad reasons. But what was/is a concern is that if there's a recession, as FOX products are used on only the high end market, FOX sales could be serverel affected. Conversely, FOX is both the market leader in terms of brand, quality, and is developing partnerships with firms outside biking including Ford.
In summary, while I think the CODI drop could represent a buying opportunity, I can understand why some, especially institutional owners, are selling.