Short sellers ganged up on me to prevent me from posting during their planned short attack. They also reported multiple posts to have them removed and stop the truth from spreading. I will repost here to share what I believe is relevant to what is happening to this stock from my daily observations of how the stock is traded on stockwatch.
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Free cash flow generated by Corus since 2011 (amounts are in millions and reflect the fiscal year):
2011: 134.861
2012: 155.147
2013: 154.711
2014: 175.276
2015: 201.213
2016: 188.165
2017: 292.660
2018:349.007
2019: 309.970
2020: 296.247
2021:251.947
2022: 239.600
The annual revenue (in millions) generated by Corus since 2010:
2010: 767.53
2011: 825.21
2012: 842.28
2013: 751.54
2014: 833.02
2015: 815.32
2016: 1171.3
2017: 1679.01
2018: 1647.44
2019: 1687.5
2020: 1511.24
2021: 1543.48
2022: 1598.586
So in 2022 revenues increased over fiscal 2021 not what the short sellers are peddling.
Short sellers prey on the emotionally weak and uninformed and I hope that some numbers will help put the facts at the forefront of the discussions instead of endless fear mongering from the short sellers. Now that you know the facts make an informed and rational decision not an emotional one.
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Since 2018 Corus paid over 1.1 BILLION dollars in dividends and debt repayments.. Corus acquired Shaw Media for $2.65 billion back in 2016. The debt is now down to $1.2 billion and with the recent share buybacks there are less shares floating around. When the doom and gloom cycle ends Corus will have three levers in its favour: less debt/less interest payments, less shares available as they continue their buybacks which will translate into more cash flow especially when the general sentiment improves. Within less than 5 years the company will be almost debt free and potentially with 50% less shares floating around. Just Imagine the possibilities and I am not even talking about their partnership with Pluto TV and the expansion of their content offerings and international distribution and merchandising. Corus is not about just radio and TV, they own the best software to develop kids content, multiple production and marketing companies as well as studios.
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Price targets are estimates. An estimate is a guess about the future that reflects what analysts think the price will be within the next 12 months. If you followed their estimates for the previous years you would know how wrong they have been. They miss the mark more often than not (the best analysts have a 50% success rate or more accurately the same rate as tossing a coin) . If you owned a house you wouldn't let the buyer fix the sale price for you so why would you let others tell you what price your stock is worth? Short sellers are working hard to plant the seeds of fear in your head to push you into panic selling and making decisions that will finalize your loss. For now it is only a paper loss that will become real as soon as you hit the sell button. If you have to sell now because your wife is taking the house and you can't afford your lawyer's bills and your boss is firing you and your Corus shares are your only way to get some cash then I might understand but surrendering to the short sellers' attempts and allowing them to bully and intimidate you needs some serious consideration before making any final decisions. All the short sellers are trying to do is shift your mindset from long term investing to short term trading which is their preferred timeframe. In other words they are dragging you into their field to control the outcome.
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What Is a short ladder attack?
It is a form of market manipulation where an organized group of short-sellers (people who have bet a stock will go down) sell small numbers of shares to each other at successively lower prices to “paint the tape”—meaning to create a series of reported prices trending down that will scare other investors into selling—thus helping their short bet to win.
What Is a short attack?
A short attack is a carefully planned and coordinated attack by a group of short sellers that involves taking a large short position in a company then attempting to drive the share price down by the release of biased negative information. This information can be released in a variety of ways including via a discussion paper, in the media, via “independent” analysts’ reports or on message boards and blogs. Often, these tactics are employed in combination for maximum effect.
What Is a Shakeout?
A shakeout is a situation in which many investors exit their positions in a stock or market segment at the same time, often at a loss. A shakeout is usually caused by short sellers spreading fear, uncertainty and doubt. Shakeouts can be quite variable in duration, but they are usually sharp in terms of the amount lost from recent highs.
A shakeout can also refer to stronger companies in an industry using their capital reserves to acquire or eliminate weaker competitors that have overextended themselves.
What is stop hunting?
Stop hunting is a strategy that attempts to force some market participants out of their positions by driving the price of an asset to a level where many individuals have chosen to set stop-loss orders. The triggering of many stop losses at once typically creates high volatility and can present a unique opportunity for investors who seek to trade in this environment.
The volatility creates opportunities for traders to open a long position at a discount or pile onto a short position
What Is wash trading?
Wash trading is a process whereby a trader buys and sells a security for the express purpose of feeding misleading information to the market. In some situations, wash trades are executed by a trader and a broker who are colluding with each other, and other times wash trades are executed by investors acting as both the buyer and the seller of the security.
Wash trading misleads investors into believing that trading volumes for a security are higher than they actually are.
What Is a Jitney?
The term is used to refer to a type of market manipulation in which brokers trade securities back and forth with one-another in order to earn commissions and artificially produce the appearance of high trading volume.
In this case it defines some brokers that collude with one-another to exploit their clients and other market participants through various schemes.
What Is market capitulation?
Let us define what a market capitulation is to understand how short sellers are trying to force some to sell in panic so that they can cover their short positions.
The posts on this board are mostly from short sellers trying to plant the seeds of fear, uncertainty and doubt.
When prices in a market fall, the first instinct of many investors is to hang on and wait for values to recover. But if a slide goes on long enough, fear of deeper losses can outweigh such hopes. When enough investors reach that breaking point and sell, the result is called market capitulation.
What Is a bear raid?
A bear raid is an illegal practice of colluding to push a stock's price lower through concerted short selling, while spreading negative rumors about the shorted company. A bear raid is sometimes undertaken by unscrupulous short sellers who want to make a quick buck from their short positions, leveraging social media platforms and online message boards.
What Is painting the tape?
a form of market manipulation whereby market players attempt to influence the price of a security at the expense of investors by buying and selling it among themselves to create the appearance of substantial trading activity .
The goal of painting the tape is to create the illusion of an increased selling pressure in a stock to trick investors into selling shares, which would drive the price lower.
What Is marking the open/close ?
a market manipulation practice that involves making multiple trades minutes before the open or at the closing of the market in order to manipulate the price of the stock. This type of manipulation is also referred to as « stuffing » or « owning » the stock used by short sellers to establish an artificial price that will push investors to panic and sell by stirring their fear emotions.
What Is spoofing ?
a form of market manipulation in which a trader places one or more highly-visible orders but has no intention of keeping them (the orders are not considered bona fide). While the trader’s spoof order is still active (or soon after it is canceled), a second order is placed of the opposite type.
For example, a short seller places a large sell order, only to cancel it and place a buy order. The sell order drives the price of the stock down, while the buy order takes advantage of the lower price. The spoof sell order allowed the trader to execute the buy trade at a better price than if the spoof sell order had not been placed.
What Is psychological warfare?
Psychological warfare (PSYWAR), or psychological operations (PsyOp) involves the planned use of propaganda and other psychological operations to influence a target audience’s belief system, opinions, emotions, motives, reasoning, attitudes, and behaviour. Fear mongering for example is used to induce behaviours favourable to the predator at the expense of the prey.
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99% of Canadians do not know this and that is why some rogue American funds are abusing Canadians. This stock is traded in eleven different exchanges and short sellers are abusing the situation to muddy the waters and hide behind all the exchanges and between borders.
The stock is traded in ELEVEN different exchanges :
TSX_OMEGA_PURE_Chi-X_CX2_CXD_TriAct_Lynx & over the counter in the US as CJREF
There are about 8 million shares sold short on the TSX, about 2 million shares in the US and at least 10 million shares in all the other 9 exchanges combined. When you consider that most of the short selling is done through options and other derivatives (futures, contracts for difference..) 20 million is a conservative estimate given that short sellers try to fly under the radar and some brokers might not mark the trades correctly. Some studies have said that up to 80% of all trades are just wash trades meant to mislead and deceive shareholders into making a bad move. Short sellers are not your friends. They want your money.
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By controlling two levers : supply and demand, short sellers might be able to force the stock within a desired price range while they cover.
Increasing supply:
1- by using short ladder down, stop loss hunting, wash/jitney trade… and
2- by scaring existing shareholders to push them to sell.
3- by hiring paid bashers and flooding the supply side with shares sold short
Decreasing demand:
by scaring potential buyers and dissuading them from buying the stock to crush demand (repeated posts telling people the price will keep going down and giving mental references like 99, 50 cents,zero…)
The combined effect of this engineered pricing through increased supply and decreased demand causes a self-fulfilling prophecy of depressed pricing The economic uncertainty surrounding recession fears helps the short sellers create an atmosphere of volatility and urgency that they use to their advantage by enticing people to sell asap hoping they can force existing shareholders to capitulate and dissuading potential buyers from getting involved.
For this scheme to work short sellers must convince as many as possible to surrender without putting up a fight confusing correlation and causation while pushing different cards to convince and channel different crowds to give up their shares.
Let’s get real a moment why would so many people invest so much ATM(Attention, Time and Money) to convince you to sell while hypocritically claiming they only do it to help you out? Because they see you as their cash ATM.
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What is fear mongering?
It is the action of deliberately arousing public fear or alarm about a particular issue. The party initiatiting the fear campaign seeks to take advantage of those who are naive enough to believe and act on their unchecked emotions at their own expense. Short sellers sell shares short hoping they can pick them up later for almost free so when the time to cover their short positions comes the leeches start spreading rumours of imminent bankruptcy and troubles ahead to convince shareholders to sell the shares that they covet. The shareholders loss is their gain so like any snake oil salesman they want to instill urgency and rush you into panic selling. You need to act now they say. Investing is about more than just a few quarters but time is against them so their unsolicited and free consulting advice for the clothing store is to only sell winter coats at the hottest time of summer.
Remember the story of the fox trying to convince the crow to sing to eat his cheese?
Short story: A crow has cheese a fox wants. The fox asks the crow to sing. It does and drops the cheese.
« Thank you » said Master Fox sweetly, as he walked off. “Though it is broken, you have a voice sure enough. But where are your wits?”
Moral
Short sellers live at the expense of those who will listen to them. If you want to keep your cheese, do not trust strangers giving you free and unsolicited advice.
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