I just finished reading WORK's proxy statement for FY2001. Can anyone explain to me how this management can miss their earnings budget materially with a 35% operating earnings decline and justify DOUBLING the bonuses of all of the highest paid managers as well as granting themselves salary raises?
I too would love to blame someone else for my predicament, but there is a grain ot truth in the old saw - "there are no good or bad stocks, only good or bad trades". I must confess to being the "baddest" trader of them all - WORK is my only position.
No long ago, I bought lots of HKF based on insider buying, but got nervous when it was being trashed at new lows. Not long afterward, it was 400 % higher. This time, i will just keep singing our theme song, "Hang on Sloopy".
Looks like i was wrong. We should blame the bonus announcement for breaking 5 yesterday - certainly the timing is circumstantial evidence. Its silver lining has everyone removing their rose colored glasses - a first step to putting in a bottom. That said, i believe the bottom is a little lower. Support at 5 was to important to break by only 0.15.
Fundamentally, WORK's PE is less than the DOW or S&P 500 - even after the one time charges.
If you had 1.25 M shares,(like Mr. D'Agostino Sr) do you think you would be oblivious to having your stock price at a 52 wk low? A very minimal increase in the stock price would make him far more money than his bonus. rivers
I think the most effective thing we can do is call management and tell them that we won't tolerate this kind of brazen shareholder abuse. Such a statement might have a little more impact delivered publicly at the shareholders meeting, but companies this size don't usually get much turnout. (If I were in South FL I'd do it anyway) Beyond that, we can always vote against them in the board election-- usually a losing fight and carries no volume. Ultimately, of course, we can sell the stock, which I will do if these clowns don't produce some results to go along with their greed.