So the company missed estimates by about one dime. First, that is less than $1 million. Second, a chunk of that was related to new hires to meet future business demand (Europe and Asia?) and almost as much again probably for the executive search for the new CEO. The market just needed an excuse to move the stock to a more tradeable range in the mid-teens as opposed to the high teens to keep all the professional traders and MMs happy. It is one of the most volatile stocks on the Nasdaq moving within a $1 per share high to low range almost very day, sometime $2 per share when the action gets heavy. That's the way the traders like it and they are calling the action in this one. You can put a kid through college just moving a couple thousand shares back and forth daily on this one.
Robo, is it you actually think Q2 numbers were ok or is it because the stock price has held up relatively well (*so far*) you are perceiving them that way? I'm still far from convinced we've seen the lows from the latest report.
I think they were ok, but the optics of a second back-to-back quarterly loss was not good. The company's fixed cost base and being almost totally dependent on the spending patterns (both amount and timing) of the auto manufacturers place much of that out of their control. You almost have to forget the quarterly numbers and focus on the annual progression. The co. is trying to drive future growth and business value w/the new hires and that is good (everyone loves when AMZN invests heavily for the future and even gives them a pass on quarterly numbers). My guess we meander on the stock price until mid-May when Q3 results are announced. It's really all about Helix and Vector, more accurately to say executing on Helix and Vector installation and implementation now. The table is set.
Too volatile for most retail accounts. Ultimately the board will have to decide whether the volatility is in the best interest of its shareholder base, or whether it makes more sense to entertain offers and best serve its shareholders that way.
All I can say is that I have had this stock for years. Even forgot about it. Now that I have it and am looking at it, I hate it. It doesn't seem to have any interest in the shareholder, and seems like the somebody is using it to make good. How that is I don't know. I just want to move on and have been slowly divesting.