After the close of trading Thursday, the online brokerage and investor education services company posted a quarterly profit that was below Wall Street estimates and said the U.S. Securities and Exchange Commission was conducting an informal inquiry into some of its presentations (the seminars the company conducts).
Alone on the hill day after day, the boy got bored. He decided to play a practical joke on the villagers. He took a deep breath and shouted, "Wolf! Wolf! A wolf is here!"
The villagers ran up to drive the wolf away. But when they reached the top of the hill, all they saw was a laughing boy, and no wolf.
The villagers scolded the boy. "This is not funny. Don't cry 'wolf' when there's no wolf!" Grumbling among themselves, they went back down the hill.
We take no comfort in reminding investors--again--that this disaster was avoidable: (i) neither Investools or its employees, nor its independent contractors [were] licensed financial advisors; (ii) only three of the coaches had more than ten years of personal investing experience; and (iii) management consistently masked revenue as deferred liability (among other accounting concerns).
The next day, the boy yelled again,"Wolf! Wolf! The wolf is chasing the sheep!"
He bent over with laughter when the villagers once again came to the rescue.
When the villagers saw no wolf, they warned the boy: "If you ever do this again, we won't answer your call when there really is a wolf!
Shares of the company were trading at $9.97 per share after the bell, down almost 20.1 percent.
Later that day, the boy saw a REAL wolf prowling about his flock.
Immediately, he jumped to his feet and sounded the alarm: "Wolf! Wolf!"
But the villagers thought that the shepherd boy was trying to fool them
once more, so they ignored him. ~ "The Boy Who Cried Wolf" ~ Aesop fable