Friday, November 11, 2016

Sold my shares in Agrofresh (AGRS)

Agrofresh came out with earnings yesterday and the news sucked. The apple harvest is actually up but only by 3% and there was expectation of 11%. Obviousily less apples means less application of Agrofresh's preservation products.

In addition the company has now suggested that they are seeing competition in their market space and lowered prices to keep market share.

The new CEO did not sound particularly optimistic to me especially after an almost 50% drop in the stock price yesterday. Long story short this one did not work out for us and the drop yesterday exceeded my stop so I am selling.

When a company looks like it is having issues and can never make the projections that management, who know the business best, are making than it is time to bail. I don't like taking losses but this is how we preserve capital and win long term. Sell Agrofresh.

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