Thursday, 31 March 2016

Timing is everything - Jana Partners’ stake in CSC

Everyone has seen examples of the basic truth that in business timing is everything.

Jana Partners gave an illustration of their view that it is time to sell CSC shares.  It has further reduced its stake in the company by 2.5 million shares (almost 35% of its holding) during the quarter to 31 March 2016 . 

Jana Partners now holds almost 4.8 million shares or 2.31% of the equity of Computer Sciences Corporation, a stake is valued at $150 million.

As a point of comparison, in May 2015 Jana Partners held 5.9% of CSC’s shares, and had options to buy a further 2.6%.

Does anybody think Jana Partners would be selling off their stake in CSC if they believed the future was as rosy as Mike Lawrie tries to tell us?  No, we don’t either! Jana reckon they have made their money, now it is time to go.  We agree!