BoondogI think you are unduly pessimistic on this stock From...

Boondog

I think you are unduly pessimistic on this stock

From today's SMH article

"The sharp fall in share price is also likely to increase its attractiveness as a potential takeover target for rival UGL. Transfield's chief executive, Peter Goode, said the company was unlikely to be vulnerable to a takeover as he believed its share price would recover when the market better understood the company's guidance.

''I think we need to spend a bit of time with the market explaining the complexity because I think they are being led to a lower result in FY12 than we actually believe we are going to deliver,'' Mr Goode said. But analysts were concerned with a slow start to the performance of Easternwell and an apparent admission from the company of minimal growth elsewhere in the group."


As I have previously written I am convinced the market acted illogically yesterday and those who bought will do well. You could argue that management did not sell the story well but the facts were presented and investors should be able to work it out.