I suspect the reaction is significantly short covering - but this is because the CEO has signaled he is moving from a growth strategy to a profit strategy, and you don't want to be short a period of likely higher earnings. You put the resources that used to go into chasing new franchisees into quality assurance and extracting more profits from franchisees where it is possible, and you can significantly increase profits, and keep franchisees happy too with bigger catchments for them.
We'll see what happens in the conf call!
I think CKF went up because there was a good first month or so, and the market expects good news from CKF. See if that happens.
DMP Price at posting:
$35.84 Sentiment: Hold Disclosure: Held
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(20min delay)