5 Analysts Participate in Questions and Answer Session Of Conference CallYesterday TITAN MACHINERY issued a press release with FY2016 Q1 financials followed by the company's conference call.
Analyst at Feltl Doesn't Participate in Conference Call Q & A but Upgrades Stock ImmediatelyLocal Minnesota Analyst Feltl and Company (Brent R. Rystrom, Director of Research) upgraded Titan Machinery shares with a $20.50 price target without knowing who the new president of the Company will be. The company still has not even filed a 10Q yet.
Felti Upgraded shares and gives a price target that is 46% higher from current levels. (According to Felti company's current market cap under $300 million will grow to over $400 million).
Felti says company will go from a ($1.51) loss in FY2015 to a profit of $0.36 for FY2016, but they don't know who the new president will be that will create this dramatic turnaround?????
Feltl and Company makes a market in the securities of Titan Machinery
- September 10,2012 Feltl’s Rystrom lowered his investment rating on the stock to “buy” from “strong buy” and chopped his price target to $27.75 from $41.44.
- Shares had since declined to a 3 year low under $11
A cofounder of Titan Machinery that sits on the Board of Directors who is also the brother of current president is the chairman of the underwriting firm for Titan that is located in Minnesota called Cherry Tree Investments. This same director was once disclosed as owner of the outside entity of Dealer Sites LLC who recently increased lease agreements with TITAN from $50 million to over $100 million.
TITAN MACHINERY (NASDAQ: TITN) is one bizarre stock!
TITAN MACHINERY COFOUNDER, Peter Christenson, announced on May 11,2015 that as of June 4,2015 he will no longer be president of the company.
On May 7,2015 Titan Machinery filed a (proxy) DEF 14A with the Securities and Exchange Commission stating that Peter Christianson would be president of the company.
WHAT HAPPEN over a 4 Day period that the CO FOUNDER of the Company changed his mind?
Why would the President of the company resign as president without there being a replacement for his $500,000 a year position?
When interviewed by the press the President said he couldn't comment because the company was in a "Quiet Period" because the company would be reporting FY2016 Q1 financials and after the numbers were released on May 28,2015 (yesterday) the management would then be able to comment.
The company held their conference call yesterday and never commented on why the President decided to step down and the Management never mentioned Who would be replacing him. None of the Analysts on the call cared to ask and no reason was ever disclosed.
It is almost 3 weeks now and Titan Management still has not named a replacement and next Thursday they will have a vacant president seat.
The company reported annual FY2015 financials for the period ending January 31,2015 last month disclosing a loss of ($1.51) per share for the year. 7 months earlier the company had given guidance that they would earn $1.00 per share in that period.
Yesterday FY2016 Q1 financials were disclosed in an 8k and the company reported a loss for the quarter of $(0.29) per share. (As of 11am this morning no 10Q has yet to be filed with SEC)
3 Mutual funds control 42% of shares outstanding and there has been barely any sellers in the stock recently. The month of May 2015 is the smallest average daily volume in the stock (at 100,000 average shares per day for the month) since June 2010.
The company has be closing stores and revenues have declined dramatically.
Why is this company trading at a $300 million market capitalization and why does Felti believe it is worth over $400 million?
Follow the bouncing ball of related party transactions here.