Execution RiskA material transformation initiative increases execution risk and could divert management attention from core growth initiatives, potentially slowing operational momentum.
Restructuring CostsImplication that a transformation may be required raises the prospect of restructuring costs that could weigh on near-term profitability.
Valuation UncertaintySurprise over a potential transformation may prompt reassessment of the company's outlook, increasing uncertainty around valuation and analyst forecasts.