Totally agree about the "excuses" not quite ringing true. Communication from management could be better, for sure. And some of the previous insider selling has left a bad taste.
However, I still think that the long term prospects of this company are very good. It still has a virtual monopoly on a product that serves a vital need and is loved by the AV industry. None of that has changed
What I take from this accouncement is that the industry is more cyclical than I had previously realised. Earnings are going to fluctuate. We need to stop expecting steady 20-30% growth each year. Instead, we will sometimes get 50% and sometimes get zero (or less).
The "market" got too excited by the HY result released in Feb and has similarly over-reacted to this latest result.
AD8 Price at posting:
$8.48 Sentiment: Buy Disclosure: Held
(20min delay)