Its pretty ugly what is coming. The litigations started to pour in and this is the beginning. With all that money made by mgt on selling stock in top of the screw up will drag this company for years. They don't understand they enter the major leagues this is not any more a rescue operation but a recovery effort. Please don't destroy more value.
Tim had the same issue when he hired the previous VP of retail stores. If that person try to change the Apple way it always end in a fiasco. Tim hire powerful people that them he can not force to follow the Apple way.
Apple lost control when news on the new process came through France media, the lack of availability on the stores and the lines and knowing who many pre orders is the culture . Trying to imitate Amazon is a big mistake and took away from the Apple experience. I cancelled my watch because now is another of the many that you can buy on amazon. Sad because the company had a great quarter and now everything is converted into negative.
Talked to a couple of the legal firms that are doing their on investigation and they are going for the BOD , CEO and Kpmg. It appears that the SEC probably will get in too.
These are investors left the Amazon gambling table and now are going back to where they belong.
The exit is good thing it will take a couple of days to purge them OUT.
BOD needs to stop the reckless behavior wake up and terminate the CEO and enforce a claw back on his bonuses perks and millions of stock sales in January 2015. This guy was paid $1.3m Plus and made $29 million in stock sales in January and needs to be hold accountable. If the board cant make him responsible the Sec should
The shareholders lost 22% in one day and will lose and additional 20% as litigation and investigations start rolling and analyst downgrades start pilling up due to the lack of confidence.
Also KPMG should be accountable. They replace E&Y two years ago and got paid +$1.4m.This is not hard to detect. We are in May 2015 and they still messing around with 2014.
$41 is the 25% down. Hope volume accelerates and we get volume in 12-15 m million range . This will clear a lot of the shorts since they were 12m+ before the debacle.
The company is slowly doing the right changes. But this is a cultural issue and changes are needed at the highest level CEO and Board otherwise the new second tier management wouldn't be able be be effective in changing the culture.
We are moving to a recovery of losses as management and BOD awake to reality. Shorting the stock while the company realize the mess impact is s is appropriate. Adding one experience person is a baby step and it will take months because its obvious this is a cultural issue. Cleaning the house will take time since the problem is at the top and they will fight to survive and unfortunately will go slow as shareholders pay . Until the house is clean. History tells you about the two waves . A 25% day decline follow by another 25%. The first goesvery fast and the last over a period of time as management prolong pain with the denial.
Good luck longs
This is a mess and mtg will add to it the pressure since they hide from the debacle.
A second big screw up.The co is on denial believing that tepid action of rotating the tires and reaffirming 2015 numbers is going to save them. These are the same guys that cannot tell you what is 2014 revenue in May of 2015.The shorts & litigators are in the company parking lot and are coming with a tsunami that without bold action will drag this for years. Congratulations to the shorts that smell incompetence ahead of everyone..
As a long investor is time to convert from a recovery operation to a rescue and go short. The BOD will continue to limp as they drag this out and mgt will try to hold on as they discover that they need bold action. Reasonable stk target low 20"s until we get new mgt and new BOD.
The company should hire an investment banker ASAp.As the stock collapse the pain will be higher. Even if they survive they are going to lose in a big way. The amounts of lawsuits , investigation and distraction will make them losers even if they win. Not even the emotional distress that they dont know is coming. Only a sell is a win win (except for the shorts) hope they have someone smart on the board that understand and can overcome the emotions.
The shorts are at the highest level .The legal firms are going to have a banquet and the SEC is going to be all over this. This will result in a tremendous cost and will suck up a weak and incompetent management team time. Management is so naive that they still forecasting financial results for 2015 year when they have not figure out 2014.More bad news are staging and will bring this down to the low 20'S.
God is the only thing left to save us from this BOD and Incompetent management team.
The company should be sold or merge with a company that have experience management .
Its not hard what needs to be done.
1. Need a new CEO that can bring adult supervision and that can communicate with WS about the house cleaning. The company needs basic processes that have the control. A new CEO can bring a new Board versus one.
2. The audit firm need to be replace . Two are too many.pitfalls that were not catch
3. Implement internal audit processes. Its obvious that this is cultural problem.
The adv kings didn't make their numbers why do you think this poor thing will be even get close. Big opportunity to buy at below $45 count on it.Still an insane PE
Amazon and the the stock is at $390 ( or was). This why WS is a casino.
Volume is extremely low under 30M mostly driven by short sellers . At this volume it takes 3 days to cover that will put preasure to cover with big jump.
Apple is a great buy will be up by 10% as retail shorties continue to pour in .
This is Dump money and will induce a big squeeze as they run toward salvation.
Based on the growth rate this company is undervalue by at least 50%. Lack of shorts is holding the stock.
the lawsuits will become vaporware. This stock should breakout dramatically in the summer.
Shorties beware. China people cannot wait to buy this. A master piece, the Iwatch will be in display on April 10 with will create a huge demand for the launch.Expectations are for 3 million first weekend sales.
The I watch, Apple pay and the new mac air will buster Q2 revenue. This in top of the increase of the buyback and dividend will make the shorties cry. Small retailer investor are always short or toilet to the party.
This was a reck today but insider are buying and they know better than any of the speculators.
I feel good about this and will help the stock. Also the presentation on Thursday .
Shorties will be looking for coverage,