RE:RE:IF Shorts are so Sure this is Going to ZeroSit back and relax? The price increases of products being taken away is "no big deal"? Some people seem to think that it is when their drugs are old, off patent, replaced by generic competitors. Shorts don't need to cover if company goes bankrupt and it seems a lot of them think this company is. I have no position, i was looking for a PR this morning but the management seems comfortable just letting the share price drop.
MirrorWorldMan wrote:
Low SP looks good on the balance sheets of the vertically challenged, even if SP remains orchestrated. The difference between their average shorting price and the market price is seen as an asset, untapped potential. The issue is CXR is not going anywhere soon and the demand for generic meds will continue long long into the future. So the price in increases of products are not what they could be and we function at lower incremental margins per product. No big deal, the new dollars are coming from new patients on new drugs, not price increases from old drugs. Sit back and relax, make money on the options if the longs are bored. The biggest fact is that there are only 50 MM shares out there and little hope for an offering. Shorts cannot cover. Worse case we sell an asset or two to pay off debt in the medium term. Invest here, place bids in a low prices and scoop up bargains. CXR is more tenacious than the shorts, who have carrying costs of their own each month in the form of interest payments.