BMBOY - Baked Goods Giant Grupo Bimbo Can Still Rise But Operations Have Yet To Turn
Writing positively about Mexican baked goods giant Grupo Bimbo (OTCPK:BMBOY) (BIMBOA.MX) back in February was a horrible call, as seen by the subsequent 25% decline in the ADRs. Even though a company/stock like Grupo Bimbo ought to be defensive in a nervous Mexican market, adverse currency moves, ongoing margin pressures, and ongoing questions about management’s strategic focus have continued to weigh heavily on the shares.
The sharp drop in the share price does not match a corresponding deterioration of the business, but investor confidence is easy to lose and hard to