Undeniable Truths

We believe simplicity drives business and complexity slows it down.

Here are the Undeniable Truths of Wall Street we also believe in.

 

Companies with strong IR programs have higher ceilings and higher floors on their stock price.

 

Truth no. 1

Companies that invest in IR have less volatility during challenging quarters.

 

Truth no. 2

We have never met an investor that did not want to make money.  “We aren’t getting in front of the right investors” is code for “our story is not as good as we think it is”.

 

Truth no. 3

Companies drive stock performance: 65% through operational performance and 35% through interacting with investors and properly telling the story.

 

Truth no. 4

Watching your stock price daily is like looking at the scale daily when trying to lose weight.  Achievement comes every 2-3 months.

 

Truth no. 5

Like it or not, Street success is based on performance against expectations.  How you did is important, but not nearly as important as what will you do next Q, next year and next 3-5 years.

 

Truth no. 6

Every investor is different and has his/her own hot buttons.  You need to be able to have tools that speak to all, but also have tools that have a laser-focus based on who you are targeting and meeting.

 

Truth no. 7

Integrity and reputation are deal makers and deal breakers.  You have 100% control of both of these attributes.

 

Truth no. 8

Hedge funds and short shops fill a necessary function in the capital market. Both can help you tell your story.

 

Truth no. 9

Wall Street is based on strong professional relationships.

 

Truth no. 10

Your stock will move and trade in ways that are unpredictable and unexplainable in the short term.  Don’t worry about the things you cannot control in the short term. 

 

Truth no. 11

Most of the Wall Street community are hard working men and women.  Don’t let a few knuckleheads sway you from enjoying the free market system at its best.

 

Truth no. 12

Thick skin is necessary to thrive on Wall Street.

 

Truth no. 13

You can ignore investor relations in the short-term, but longer-term, valuation multiples will be suboptimal and will increase your cost of capital. 

 

Truth no. 14