Spruce Point Capital Management has issued a strong-sell report on WSP Global and they are “short” the company. The stock is down a relatively modest 5% to $210.
Listening to the Spruce Point founder this morning on BNN, I think he had some valid points. But I am not in a position to do the forensic examination of their accounting that would be needed to confirm some of his point.
The WSP report on Subscriber Home Page is marked “out of date”. I marked it that way for the start of 2024 because the report was from March 2023 AND because the price had jumped since then. I was planning to update this month. If you click on the report, my last rating was Weak Sell / Hold at $173. Based on this news and on my weak assessment last year at $173 I would be very much inclined to sell on this news. Most holders have big gains on this stock and so it’s not such a bad thing to sell. At a minimum I would sell half at this time. I’d be even more inclined to sell if held in non-taxable accounts.