CMD
Cantel Medical Corporation
stock NYSE

For a long time I’ve expected them to do exactly that; kitchen sink expectations, get the bad news out of the way and prepare for the CMD. And maybe that’s what’s going to happen. But I also see a scenario where they’ve simply had enough especially due to all the negativity in the last 1-2 months. I don’t think they expected the share price to crash as much as it has.
But then, ONON actually just did it- lower expectations when reporting earnings, saw the stock crash and then at its Investor Day pumped the stock with ambitious sales targets.

Having met management recently, I left thinking that they are likely to kitchen sink guidance at results, get the bad news out of the way so that the Capital Markets Days they are hosting in November can focus more on the new lifestyle products they’re launching next year.
The CMD is likely going to include some sort of financial targets for the medium term, my guess is they’ll outline some rough plan to get back to 10% EBIT margins, or something like $2-2.50 of EPS. Then you can say the market probably puts a high-teens multiple on that, and maybe you can get to the $40s that you seem to be anchoring around.

For a long time I’ve expected them to do exactly that; kitchen sink expectations, get the bad news out of the way and prepare for the CMD. And maybe that’s what’s going to happen. But I also see a scenario where they’ve simply had enough especially due to all the negativity in the last 1-2 months. I don’t think they expected the share price to crash as much as it has.
But then, ONON actually just did it- lower expectations when reporting earnings, saw the stock crash and then at its Investor Day pumped the stock with ambitious sales targets.

Having met management recently, I left thinking that they are likely to kitchen sink guidance at results, get the bad news out of the way so that the Capital Markets Days they are hosting in November can focus more on the new lifestyle products they’re launching next year.
The CMD is likely going to include some sort of financial targets for the medium term, my guess is they’ll outline some rough plan to get back to 10% EBIT margins, or something like $2-2.50 of EPS. Then you can say the market probably puts a high-teens multiple on that, and maybe you can get to the $40s that you seem to be anchoring around.