Gamehost Inc T.GH

Short Sellers get Spanked today - Rally is their White Flag

[malx1]

There's all sorts of characters lurking in the stock markets.

One group, hedge funds who hire high IQ MBA's.


Over the past year, Short Interest in GH has increased from 2,000 shares to 24,500 shares.

Not meaningful but enough to create a mini-squeeze.


You see, shorting GH is an expensive hobby.

First, you pay interest to an institution who will allow you to borrow the shares.

Next, you pay the monthly dividend back to the shareholder you borrowed from.


What happens when you borrow a stock at $9 to sell, then the price goes to $10?

You are in a position of LOSS, plus interest, plus dividends. 

That's slow Financial Pain by 1,000 Wood Bison hooves.

Why do they short this stock?

To be cute, and because they look at charts rather than learning the fundamentals.


So today's action is very likely some of the short sellers who've decided to throw in the towel. 

They may be afraid that a dividend hike is very likely over the next 12mo.

They may be correct.

[malx1]

27,000 shars traded today, some of them were legitimate purchases by Laurentian. The others, well, probably short covering. We can find out early next month when numbers are released. High water mark is 24,500 short. If that number falls in next data release, then we know the Hi-IQ MBAs threw in the towel. Shorting this stock post-Pandemic, just dumb.

[malx1]

CORRECTED: Make that 29,500 "shares" Shars is how they say it in Boston.

[nukester]

I tend to agree with Malx Q2 revenue numbers fwiw. My $ 0.02 on shorting GH Seems like GH would make for a lousy short. Lack of liquidity alone would seemingly disuade a seasoned predator. There are numerus other shitco's out there with inflated share prices. Unless you are good friends with a broker, how would you even close the position in a timely manner? I guess I may never know what I

[malx1]

    They are on top of their regional propeties, day-to-day, month to month and quarter to quarter.     They have a gross debt target in mind.     Guessing we get there by spring barring any major economic setbacks in Alberta.    You know, the O&G winds are finally at our backs. It's ok to be slightly optimistic.    

[TheBridge]

I have really enjoyed the posts recently by our attentive and wise group! Excellent summaries of the current trends and their lkely impacts on GH. Malx1, I am also loving the current winds at our back in oil, same feeling I'm sure we'll finally feel with GH reasonably soon. Would like to add an additional sentiment to the list of factors that have been identified and suggested already. The

[malx1]

It's been tough sledding the last 3 years for GH shareholders. We rode out a Global Pandemic. At Great Canadian Gaming, they panicked.  Executives there sold the business at the bottom of the market. Massive failure for shareholders of GC. Pat yourselves on the back, celebrate your mettle. You did what the $10k suit guys at GC couldn't. You held tight, maybe even added shares

[BarstoolSage]

Great Canadian Caming executives likely had no skin in the game unlike our insider group and the market then made it so undervalued.....opportunistic buy meet no skin in the game. Here is a story for you all on forecasting. I attended an economic forecast luncheon in downtown Toronto about 1994 that included Ira Gluskin who was an important reason for me being there. Others were also there known

[malx1]

Oil prices starting to reflect falling inventories and rising demand. US oil demand has been revised higher recently. $80 oil good for AB and GH. $100-150 hurts consumer. Still might see it.