Company executives told staff that an undisclosed number of its workers would be reassigned to expanding departments or laid off, sources told the Wall Street Journal.
The company said the cuts are part of a "long-range" process that began earlier this year in which the company took a closer look at which areas of the auction house were growing or lagging., the Journal said.
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Shares of Sotheby's closed down -2.68% to $37.82 yesterday.
TheStreet Ratings team rates SOTHEBY'S as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate SOTHEBY'S (BID) a HOLD. The primary factors that have impacted our rating are mixed some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, impressive record of earnings per share growth and notable return on equity. However, as a counter to these strengths, we also find weaknesses including weak operating cash flow and relatively poor performance when compared with the S&P 500 during the past year."