In the most recent 4C management says, "Our fourth-quarter operating performance was consistent with expectations". The previous 4C they said, "Our third-quarter performance was in line with expectations."
Prior to the H1 results in February, and also prior the H2 15 results in August last year, they said in 4Cs operating performance "consistent" with expectations -- but then smashed expectations in the actual results released weeks later. People didn't understand the changing cash collection profile and people didn't understand management psychology of wanting to beat expectations,
The market is betting on disappointing results, betting this time being different in management's meaning of "consistent" and
- price down 10%
- short interest up to 3.7m
If the results are good on Tuesday, could easily see $9 open. For traders watching the share price, the nice thing about all the shorts that have jumped on since the 4C is that they have to cover at some point.
ACX Price at posting:
$7.61 Sentiment: Buy Disclosure: Held
