SFXE CEO Robert Sillerman Called Out For Rap Parody, Stock Tumbles
No, I haven't heard anyone call Robert Sillerman a racist for his hip hop parody that went viral last week but in a lot of contexts he would be. In others he'd just look dumb. Good thing it was all internal fun, right? Not so fun was the market's reaction to SFX Entertainment's fourth quarter report which inspired new lows for SFXE. During their conference call some uncomfortable questions were raised but, in the end, analysts were mostly pleased.
So Robert Sillerman headed down to Miami for various EDM industry activities last week and did a classic white frat boy parody of a rapper for photographers:
Then again maybe it was a parody of a parody?
So deep. Much wow.
Conference Call Mini-Drama
During Thursday's conference call about SFXE's business performance, after first full year results were reported, questions were raised about Sillerman's behavior.
Sillerman basically said it was "an internal thing" and that they're "willing to push the envelope" on how they enjoy themselves.
Screen Grab via Yahoo Finance: SFXE Mar 25 to Early Mar 31
Yes there were concerns but by all accounts it reads like a bunch of white guys joking around on the phone. I'm not saying there aren't some behavioral oddities but not the kind of thing that drives a stock down to a new low.
This seems to be more a case of disappointing fourth quarter results and selling on the news. But many analysts are saying good things and some feel the stock is oversold.
Other folks are still taking a wait and see attitude which seems reasonable enough. In fact, these ups and downs will probably continue though this downward progression is looking pretty serious.
Of course, if SFXE outperforms in the festival season that's now underway, they could be looking good to investors by the end of this calendar year even if they're still not showing a profit.
Good Press for Robert Sillerman:
- Ticketing News: SFXE Acquires Flavorus, Eventbrite Valued At $1 Billion, Brown Paper Tickets Innovates
- SFX Entertainment Sued, Co-Founders Claim They Were Ripped Off
- "Maximizing Beatport" With A "Bloodbath" Of Layoffs: SFX Entertainment [SFXE]
Hypebot Senior Contributor Clyde Smith (Twitter/Facebook) is currently relaunching All World Dance. To suggest topics about music tech, DIY music biz or music marketing for Hypebot, contact: clyde(at)fluxresearch(dot)com.