Please ensure Javascript is enabled for purposes of website accessibility

A Slow and Steady Climb for Rosetta Stone's Stock Prices

By Matthew Argersinger - Apr 23, 2013 at 3:00PM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Steve Swad, CEO of Rosetta Stone, candidly discusses lackluster stock prices and the methods his company is now using to reverse that trend.

The following video excerpt was taken from an interview with Steve Swad, CEO of Rosetta Stone (RST), in which he talks about his business philosophy, and how it is driving success both for language learners and for the company itself. In this segment, he discusses low past stock performance and the path to higher numbers. 

 

Matt Argersinger: I want to talk a little bit about the stock price for Rosetta Stone. It's not been a great performer since the IPO. Are there maybe two or three reasons in your mind why it hasn't been a successful investment? Was it timing or has it been just business-related mostly?

Steve Swad: Oh, I think some of the investments we made didn't pay off the way we had hoped. When we first introduced TOTALe and brought Live into our product offering, we had hopes for expanded top line and that didn't happen. And ReFLEX, we had hoped for expanded top line; that didn't happen. Or it didn't happen as soon as we thought. And so I've been working on clearer transparency with the Street and just very defined goals, and then reporting to the Street, and we're finding that the Street is accepting that approach of slow, steady growth with some margin expansion along the way.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

Rosetta Stone Inc. Stock Quote
Rosetta Stone Inc.
RST

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning service.

Stock Advisor Returns
330%
 
S&P 500 Returns
115%

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 05/23/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.