Just to keep this article in context, if you have enough of an outrageous post title - “Concordia International Is A Sewer” should do it, then you will of course drive more traffic to your article resulting in a $0.01 reward for the author per page view. This author is counting on a lot of reads so they can pay the bills. This is why we see so many poorly written articles on Seeking Alpha - anyone can become a contributor - even you!
Author payment on Seeking Alpha: $35 + $0.01/page view
CXR is a hot topic right now due to the price volatility and the battle between the shorts and longs and so you write about a stock investors are concerned about, you are going to get a lot of reads, even if you don't have much to say besides regurgitating the last two articles you have aleady written. We get it Canuck Investments, you don't like CXR.
The author “Canuck Investments” is clearly a disgruntled stock holder, given that they have felt the need to write three scathing "bearish" articles about CXR. Perhaps they were burnt from the CXR stock drop we have seen over the past year and is out for blood. When you sell a stock at a loss, then the gloves are off as you have nothing to lose except try and pile on with the shorts to drive the stock price down. Feels good to rant and do what you can to negatively impact the company you hate.
There is always a motive for writing an article like that with limited fact basis. All analysts get it wrong and I don't buy on analysts' ratings alone. But for those of you who do, analysts who have had a deeper look at CXR have placed price targets way above current levels:
“Canuck Investments’ response to this underpriced stock:
According to these valuation metrics, the stock looks cheap. Too cheap. In fact, it's too good to be true and I believe the stock is your typical value trap whose P/E will correct once the true earnings are realized in the long-term.
Okay, so when a stock is oversold, it is now "too cheap" and "too good to be true". Honestly. To me, that is opportunity. Curious if stockholders will actually sell based on what a Seeking Alpha author "believes". I would be surprised if an author with 990 followers will cause more panic selling of the herd mentality - kudos to Canuck Investments for trying.
Anyway, that is my take on this and I’m not selling just yet.
Oh, and I should disclose that I am infact a long stockholder of CXR and I
do not receive $0.01 each time someone reads my post.
