Book value 31 cents, stock price $125.06?The more I look at this stock, the more I get the feeling that I would actually sell all of my holdings if I was a shareholder. Or make sure I have a stop loss (preserve profits).
If there is a credible short seller attack on this one, it will be quite a spectacular crash. I look forward to tomorrow morning to see if the new "duedilligence" short seller delivers a factual short seller position tomorrow morning. Or if it's just yet another head fake.
Digging in the financials for the last quarter, shows net income growth has turned negative after quarter-over-quarter of positive results. When these "growth" stories stop to grow, they get chopped down fast.
This company has a lot of debt and not a lot of tangible assets.
This is the type of kindling short sellers love to focus on and if they have done deep analysis, it goes up in smoke.
If anyone here is using technical trading to enter a short position at these prices, please share your charts. When I look at the various charts and indicators, there's a lot of odd patterns with this stock. I have more questions than answer on a technical trading perspective. I would certainly not go long here but going short?
As we all know, "darlings" that crash can be devastating! Remember when Valeant was Canada's #1 publicly traded company? Remember when all the bank analysts were raising their targets?
This stock is being actively promoted well beyond its fundamentals. 31 cents for the book value? Can any accounting types explain that to us?