Q: Thought "ATZ"'s last quarter reported a beat in both revenue and earnings, but the stock reacted poorly, just keeps dropping, don’t know why. Could you please use your magic lens to look at it and diagnose the problem ?
If I have cash to initiate a new buy, which one would you suggest for a long term holding? Thanks
If I have cash to initiate a new buy, which one would you suggest for a long term holding? Thanks
5i Research Answer:
The stock has been weak recently. There is likely some profit taking; the stock is still up 59% this year. The Q2 numbers were solid, but its Q3 revenue guidance did miss estimates, and this caused some concern, due to weakness in retail sales in Canada. Margins may be pressured in the short term. We would be comfortable buying in the $43 range. Nothing has really changed in terms of its long term potential. Note only one stock was listed in this question so we do cannot answer the second part.