Just doing some initial research...as I am new to ZQK and own no shares.
So they are "investing heavily" in some "growth initiatives" (Quiksilver girls, cold weather initiative, ERP/eCommerce infrastructure, incubator brands, recruit expenses, etc.), which they expect will keep FY11 estimates in line, despite unexpected upside Q1 metrics.
It sounds like ZQK has thier work cut out for them (transition year that should have been last year, overpaying recruits, disruptive ERP and eCommerce projects, new cold-weather market attempt).
Unless the stock drops closer to $3.50, I'll pass on ZQK for now and re-evaluate next quarter. Let me know if you all feel the same or not.
these are typical zqk cliche lines/lies ;"investing heavily" and "growth initiatives" .
This company has been poorly run for many years now. Sadly their management has gotten quite good at trying to turn terrible financial performance into a positive spin.......If only that helped the stock price.