Gordon Higgins, CA, MBA
Royal Group Tech.
RYG-T
DON'T BUY
Dec 02, 2004
Would stay away from this one. When you don't know what management is and prices going against you, you're better to step back and find out what's really there.
Has personally shorted this stock. Might be a buyer at book value of $10/11. Because of higher gas prices, they will suffer from higher resin costs which will create a margin squeeze.
Chairman, president and CFO were let go with cause today. Will be good for the company in the long run. In the short term, there will probably be a bit of a pop, but long term uncertainty.
Have had operational problems as well as issues with management, owners and directors. Have got new management which is totally untested. Still have some operational issues. Way too early to buy.