Senior management teams are very thoughtful about the financial guidance they provide the Street. Internal and external factors are considered and result in ranges that reflect the management team’s best estimates at the time they are provided. Given the amount of brainpower that goes into crafting the guidance, management teams often become frustrated when their analysts go “rogue” by publishing estimates outside of the guidance range. As a former analyst, I can tell you this happens for a variety of reasons.
Posts by Asher Dewhurst
For 31 years running, the mosh-pit that is J.P. Morgan’s Healthcare Conference kicks off the new year. In addition to the more than 400 companies that officially present, the conference attracts countless other healthcare companies looking to meet with the investment community. It is also the only event that attracts sell-side analysts and investment bankers from all corners of Wall Street.
While not all investor meetings require a walk through of your company’s slide deck, meetings with potential new shareholders almost always start with the investor presentation. To ensure that your audience fully appreciates your story, it’s key that your IR deck be clear, concise, and compelling.
Here are 5 tips for refreshing your IR deck to ensure your company’s story and opportunity is properly conveyed:
- Clearly explain your business. The most common mistake we see is companies launching into their story before telling the audience exactly what they do. Make sure you allocate ample time early in the discussion to explain your business. If you lose them in the first ten minutes because they don’t fully understand what you do, the rest of the meeting is a waste of time.
- Make sure your industry numbers are correct. When discussing your market opportunity, make sure your numbers make sense and are correct. The fastest way to kill a meeting is to base your assumptions on figures that you can’t back up factually. Management teams lose credibility when the numbers don’t jive.
- Articulate your growth strategy. Once investors figure out what you do and that you have a large market opportunity, the rest of the discussion is easy and should focus on your growth strategy. Senior management teams need to clearly articulate both near-term and long-term growth strategies for the company. Continue Reading