Fairfax’s latest statement on its business and management strategy has been greeted coolly.
The stock fell 2 cents to 60 cents as of 1443 AEST. Fairfax said before the market opened today it will reorganise its business into five units and appoint new management.
Perhaps the stock’s gain, up 20 per cent this year compared with the market’s 5.7 per cent rise, is overblown especially set against forecasts of declining revenue and EBITDA.
Thus it is mystifying why there are six 'buy' and four 'hold' recommendations for the stock compared with five analysts who rate Fairfax a 'sell'.
Fairfax promises yet another reorganisation “to optimise opportunities that a predominately digital future provides”.