Why is Well crashing today??
Thanks
Shane
WELL reported results this week, and upped its revenue guidance. However, Desjardins worried investors with a lowered target and comments that its profitability lagged its top-line improvement. Plus, two other brokers lowered target prices on the stock (Stifel $12 to $11, TD $8.50 to $8.00). It is well down from its high and tax-loss selling could have also been a factor. Sales guidance went from $740M+ to $755M to $765M. There was also a rumour that shortsellers were trading today. This can't be confirmed until short positions are disclosed. The stock is up 33% YTD and thus is an easy one for nervous investors to sell. But nothing has really changed here, with the only 'real' news the above comments from brokers. Volume did pick up, but there were no giant block trades (the largest was 150,000 shares). Average trade size was 441 shares. Consensus calls for flat EPS in 2024. We would not react or do anything here. The company's plan and outlook have not changed in one day.