The fund manager’s shares were up as much as 6 per cent to $17.41 despite UBS analyst Shreyas Patel putting a ‘sell’ rating and a $17 target price on the stock.
Magellan’s high-profile board and executives have shared investors’ pain over the share price collapse as they hold more than $15 million in loans used to acquire shares at vastly higher prices.
Hamish Douglass’ celebrity status was an asset for the years when Magellan was building its brand and growing its funds under management. The downside is that when the guru underperforms,there is nowhere to hide.
Shares in the Sydney fund manager have fallen to a seven-year low as founder Hamish Douglass takes medical leave after a period of “intense pressure and focus” on both his personal and professional life.
Magellan’s share price fell by more than 7 per cent as founder Hamish Douglass said investors should not read into market downswings and focus on the long term.
Two class action law firms are running the ruler over Magellan’s disclosures after a horror fortnight sent its stock price plummeting and left investors bewildered.
Shares in beleaguered fund manager Magellan tumbled 33 per cent after it lost a key contract with its biggest client,sparking fresh concern among investors.
Magellan co-founder Chris Mackay has thrown his support behind the troubled fund manager as it went into a trading halt before further details could be released about a ‘material contract’ loss.
Magellan’s founder Hamish Douglass regularly quotes the 90-year-old investment legend,but there is one aspect of Buffett’s career Douglass hasn’t emulated.
Heavyweight fund manager Hamish Douglass has confirmed that he and his wife Alexandra “separated some months ago” but says there are no plans to sell their joint stake in Magellan.
Brett Cairns will leave the investment powerhouse immediately,in a sudden leadership reshuffle that has raised questions about the sustainability of Magellan’s future.