Turning on a Dime

Corporate Executives seem to be able to turn on a dime when reporting bad news. Analysts , investors and financial journalists cover a stock and ask questions. Management continues to say no problem. Then sudden claims of unforseen problems. Investors find the problem suddenly left at their door step like unwanted babies.
Recently Open Text which trades on NASDAQ (symbol OTEX) did just that. Now everyone is speculating about what the real issues are. There should be penalties for managements which claim these surprises. I find it very hard to believe that large sophisticated companies do not have the radar to see most issues coming at them. If they do not then they should not be running a company.
When sudden reversals occur there should be more regulatory oversight with appropriate penalties.