In a short report initiated April, 1 2020 with two accompanying updates, Spruce Point Capital Management warned that WD-40 Company (NASDAQ:WDFC) is widely misunderstood and believed to be defensive, but in reality faces both long- and short-term secular pressures.
"In April 2020 we warned that WD-40 would not be recession proof, a hole in its balance sheet would be exposed, its longterm goals would fail, and it was time for management to step-down and admit failure," Spruce Point said in its most recent Oct. 18 update.
"As we look back and evaluate our forecasts, many proved accurate. Its financial condition is the worst in decades and three key executives are departing."
