Q: Could you please comment on DEFI's quarter results.
5i Research Answer:
The Q3 results and guidance were horrible, and (not surprisingly) the CEO has resigned. Sales were about half of estimates. Guidance was cut by about $50M. Sales missed by 72%. A small EPS loss was recorded vs expected 10c profit. The stock reaction is appropriate here. The management change and results leave a ton of uncertainty to the stock. We think exiting is the right move after this disaster.