WD-40 Stock: Buy or Sell?
The recent results from universal lubricant and degreaser company WD-40 (NASDAQ: WDFC) saw the market react by selling the stock off, but if the bears are right there could be more to come. Alternatively, the bulls will see it as a buying opportunity. Let's take a look at the cases for and against buying the stock.
There are three key arguments that have excited the bulls over the stock:
There's some merit in each of these arguments. For example, on the recent earnings call, CEO Garry Ridge argued that the sales decline during the recession in 2008 "was primarily because of the strengthening of the US dollar against the pound" with CFO Jay Rembolt adding, " Actually, we had a shortfall in the US. We actually -- in local currency or in source currency, we were -- we had growth in EMEA. But it was wiped out because of the headwind from foreign currency exchange."
Source Fool.com
