EnergySolutions (NYSE:ES) — Like Steve Creamer, It’s Time to Hit the Exit
EnergySolutions, the Salt Lake City-based provider of specialized nuclear services, recently announced a change in its executive team, with Val John Christensen taking over the CEO mantle from Steve Creamer. What exactly does this mean for the company?
Agora Financial expert editor Jim Nelson, reporting from Baltimore, Maryland, has a close read of the situation:
“Friday evening, we wrote to you about some big news in the nuclear energy world, as well as an unfortunate second piece of news that accompanied our nuclear play, EnergySolutions Inc (NYSE:ES).
“The company announced the resignation of its CEO, Steve Creamer, which led to a quick analyst downgrade.
“It became evident during the ensuing analyst call that EnergySolutions mishandled this transition. While we still have high hopes for the company in the long term, we can’t ignore this major slip up. The mistake cost us nearly 19% in one day and may be a sign of mismanagement down the road…
“Nuclear energy is finally coming around again, and we still believe there’s money to be made. We’ll keep looking and let you know when we find a better way to take advantage of it.”
With a watchful eye on the movements in a wide range of small cap companies, Nelson stays on top of important ideas just as they are getting underway. You can read more about his research approach and perspective by visiting the Agora Financial reports page here.