After a report from a short-seller caused a few ripples in LaCroix parent National Beverage Corp.’s stock, the company CEO is firing back and assuring investors that everything is just fine.
Glaucus Research Group said on Wednesday that National Beverage “has become a faddish stock-market darling du jour” amid the LaCroix revival that has millennials arguing the merits of coconut flavor versus pamplemousse.
The report urged regulators to investigate the company, its accounting and its practices, and valued its stock — FIZZ — at about 65% of what it was trading at. That sent stock tumbling 8.2% to $42.67 a share, the South Florida Business Journal reported.
Not to fear, Chairman and CEO Nick Caporella said in responding to the report, calling it “false and defamatory.”
“I would again caution fellow shareholders about reacting to the many false statements made yesterday and I assure all parties that the financial prospects of the Company are just as fundamentally strong today as the day before this self-serving attack by short sellers,” Caporella said.
By the end of Thursday, National Beverage stock was perking up, hitting $43.32. As of this morning, it had dropped a bit lower to $42.91 a share.
CEO of LaCroix parent company responds to dramatic stock drop [South Florida Business Journal]
by Mary Beth Quirk via Consumerist
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