In this case, "regression to the mean" is probably the wrong phrase.
Generally, though, when a CEO is looking stern and fearful and declaring writedowns and layoffs and erasing the 'goodwill' off of their books one quarter along with huge losses and financial penalties, etc then the next quarter usually isn't quite as big of a shitshow...
So the point here would be to buy a stock that has been overly punished and become unfashionable, while the overall business is still sound and will eventually rebound and the stock price should perk up.
If true, though, reading the negative emotions of the CEO would be correlated with past performance and it wouldn't be useful to determine if the company really was sound or if the company was actually heading to zero.