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Bullboard - Stock Discussion Forum Viemed Healthcare Inc VMD

Viemed Healthcare, Inc. through its subsidiaries, is a provider of home medical equipment (HME) and post-acute respiratory healthcare services in the United States. The Company’s service offerings are focused on effective in-home treatment with clinical practitioners providing therapy and counselling to patients in their homes using cutting edge technologies. The Company’s products and services... see more

NDAQ:VMD - Post Discussion

Viemed Healthcare Inc > Margin Lending Values
View:
Post by donmayne on Aug 25, 2021 5:08pm

Margin Lending Values

From TD: 

At TD Direct Investing, we review our margin lending values on a regular basis to ensure they reflect current market risk conditions and comply with the requirements of the Investment Industry Regulatory Organization of Canada (IIROC).
 
Margin lending values have been updated today, Wednesday, August 25, 2021. These changes reflect recent updates to the “List of Securities Eligible for Reduced Margin” released by IIROC, and other important factors in setting margin lending values.



Comment:
TD reduced the margin lending value for VMD from 70% to 50% effective August 25, 2021.  TD is one of the largest online brokerage houses in Canada; perhaps the largest.  Perhaps other brokerages updated their lists as well.  Notably IIROC did not reduce the margin lending value but each brokerage can do so based on their own criteria.  The volume on the TSX exceeded the Nasdaq volume today.  This is an anomoly and is likely due to the change in margin value by TD.

The drop in the share price reflects the selling pressure of today.  We may see a bit more margin selling in the next few days until accounts are brought back into good standing.  

One reason for reducing the margin lending value is the lower daily volumes and the lower public float.  Institutional ownership has increased and so the public float has decreased.  

IMHO...this is reason for the unusual drop in price today.  Yet one more time, VMD approaches the oversold territory and market forces will respond to that.  
Comment by JackLambert on Aug 25, 2021 5:22pm
Interesting. Good insights. Thx