NASDAQ listed Beyond Meat (BYND) is a good example of a seemingly “obvious” short trade which I have very deliberately avoided for more than 200 points now. The stock is now up 10x since May 1st, when it IPO’d on the NASDAQ at $25. It’s not that I am not shorting stocks anymore. I am simply being more selective. I...
You can't fight the Fed. The share buyback parade looks like it will be accelerating further before it shows signs of moderating. So if you have been waiting for market frothiness to subside, then clearly this was not your week. And next week isn’t looking very likely either. During holiday-shortened trading weeks, we often see stocks grind higher on light...
In March 2019, shares of Revlon (REV) briefly plunged from $27 to below $16 in extended trading following its (as usual) weak quarterly results. During the weakness, majority shareholder Ron Perelman resumed his (as usual) purchase of additional Revlon shares. Thereafter, Revlon resumed its (as usual) rebound back to around $25. A nice upward move of more than 50% from...
The Tilray squeeze.Tilray inc. (TLRY) is a Canada based producer and processor of marijuana. In July of 2018, Tilray came public on the NASDAQ raising $153 million in an IPO priced at $17.00. Tilray's IPO market cap of $1.5 billion was large enough to leave many people skeptical that it could sustain such a high share price. As a result,...
KaloBios (KBIO) Infinity Squeeze. In November 2015, “Pharma Bro” Martin Shkreli orchestrated a violent short squeeze on failed biotech KaloBios that caused its share price to rise by a staggering 10,000% in just five trading days. KBIO had been perceived by short sellers as a “no brainer near term zero”. KBIO’s only real drug had just failed and the company...
NASDAQ listed Beyond Meat (BYND) is a good example of a seemingly “obvious” short trade which I have very deliberately avoided for more than 200 points now. The stock is now up 10x since May 1st, when it IPO’d on the NASDAQ at $25. It’s not that I am not shorting stocks anymore. I am simply being more selective. I...
You can't fight the Fed. The share buyback parade looks like it will be accelerating further before it shows signs of moderating. So if you have been waiting for market frothiness to subside, then clearly this was not your week. And next week isn’t looking very likely either. During holiday-shortened trading weeks, we often see stocks grind higher on light...
In March 2019, shares of Revlon (REV) briefly plunged from $27 to below $16 in extended trading following its (as usual) weak quarterly results. During the weakness, majority shareholder Ron Perelman resumed his (as usual) purchase of additional Revlon shares. Thereafter, Revlon resumed its (as usual) rebound back to around $25. A nice upward move of more than 50% from...
The Tilray squeeze.Tilray inc. (TLRY) is a Canada based producer and processor of marijuana. In July of 2018, Tilray came public on the NASDAQ raising $153 million in an IPO priced at $17.00. Tilray's IPO market cap of $1.5 billion was large enough to leave many people skeptical that it could sustain such a high share price. As a result,...
KaloBios (KBIO) Infinity Squeeze. In November 2015, “Pharma Bro” Martin Shkreli orchestrated a violent short squeeze on failed biotech KaloBios that caused its share price to rise by a staggering 10,000% in just five trading days. KBIO had been perceived by short sellers as a “no brainer near term zero”. KBIO’s only real drug had just failed and the company...