Listened to the cc and read the transcript thoroughly. Lento seems to be a capable guy but I believe he is not the one to give us the sustained focus needed to turn this ship around. His background is in sales What we need is an emphasis on Operations, Engineering and Finance Can't learn these skills on the job. He will certainly try hard but in the long run he will be replaced. Just my opinion
Meet on rev, miss on eps...stock goes down. Leads one to think that perhaps profitability and eps growth may be of importance to investors. Yet on the cc the new CEO did not stress the importance of a return to profitability but instead talked about 50 to 100 new sales/r&d employees to be brought on board throughout 2013... Further pressure on eps Llnw needs to do both...grow and drive profits. If the new CEO had articulated that plan yesterday I believe we would be higher today
I'm less concerned with the numbers reported for the fourth quarter than I am with the message delivered by the new CEO. Remember h ace on as an interim CEO during the end of the fourth quarter...no time to influence revenue or eps driving cost reductions. If he lays out a credible plan for 1) even use growth going forward 2) a cost/ expense reduction plan to drive eps 3) a roadmap for pushing the company into a leadership roe in Digital Presence and 4) some solid and believable guidance. If he does these things I believe we will begin to see a strong upward movement in the stock. My opinion, of course......we will all know soon enough
As a shareholder, I'm disappointed in Mr Lento's recent decision to hire a new head of sales from his former company. This decision doesn't provide for much diversity of thought and processes in fact, at Convergys, I believe, Mr Lento was the head of sales and this new gentleman was a business unit head....doesn't make sense. The appointment brings nothing new to the business that was not already there with Mr Lento. I think it was a hiring mistake and a junior move by our new CEO
I've recently taken a position in this stock....full disclosure. In my opinion we go higher from here once the new CEO lays out his plans for both cost reduction and further revenue generation. Llnw has a solid base of revenue and is currently undervalued due to its lackluster financial performance to date. All that will change, I believe, with a well formulated, well articulated plan for growth. We will see. Good luck longs!