I have a confession: I'm no longer a MTY Food Group Shareholder.
I'd like to convince everybody that I'm a genius, but I've been simply lucky on that one: I sold all my MTY shares on march 11th (selling price: 42,72$)
On march 16th, the price dropped to 23$.
On march 18th, the price dropped below 15$, a price similar to the price you could pay in 2011 for a share of MTY. If I still had my shares, I would have feel the horror of a loss of about 66% on a single week.
The company said today that the dividend was suspended. Plus, half of the employees are momentary fired and the income of executives is lowered. Today, you would have to pay 16-17$ to buy a share of MTY.
It only begins. You will see that more and more often. Because a lot of businesses are poorly managed. And I don't think that MTY is badly managed. It's only not a good business model for a plague.
At current level, I wonder if it would be a good idea to buy some MTY shares. Perhaps a very small position. But one thing is sure, investors should look much more at companies that haven't been hurt that much.