Sell: FLIR (FLIR)
From The Cutting Edge
Updated from WSBI 786, October 19, 2016
Last week, FLIR announced it would be realigning its operating segment structure, effectively condensing its eight previous business segments into three newly formed units: Government, Industrial, and Commercial. The move comes just months after the recent appointment of Jim Cannon as the company’s new CEO in May.
Along with the operational realignment, FLIR’s COO, Tom Surran, has resigned from the company. We find this added shake up in leadership somewhat worrisome given FLIR’s historical success.
While there’s no immediate danger for shareholders, we’re simply not comfortable with Cannon throwing a wrench into FLIR’s already successful business. As the saying goes, “If it isn’t broke, don’t fix it.” and a COO departure hints that this might be the wrong move.
Given these new developments it’s better to play it safe here and take our winnings off the table.
Jason Stutman, The Cutting Edge, www.angelpub.com, 877-303-4529, September 5, 2017