May. 14 at 2:38 PM
$JOB I was expecting better results. Direct hire remains strong, but contract staffing very weak.
I guess management has reached an agreement with Red Oak and they will start doing M&A. My expectations from next call:
- M&A pretty soon. S3 filing provides them with flexibility. I do not expect them issue common stock, instead non-convertible preferred is most likely an alternative.
- Since cash positive I expect announcement on buyback on common stock pretty soon. Not expecting announcement in this call, instead for next call.
- S3 is also a red pill for activists wanting a sale right now.
Next call will be interesting on how management addresses shareholder concerns. Not expecting too much, hopefully good results should make stock go back to 0,40s. Not an exit yet, but will most likely have to wait for management to perform.
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