World of Short Selling

Episode #14 - Week 31.01

This week I am going to look at three Chinese companies.

I will start with a summary of a lesser-known campaign on Vitasoy which was targeted by Valiant Varriors. Vitasoy is allegedly a classic Chinese fraud exposed by looking at the subsidiary-level financials.

I will follow-up on QTT, the short of Wolfpack which features similar allegations to Vitasoy. Except QTT is up 44% since the call.

Finally, I will quickly talk about NIO, the Tesla clone burning insane amounts of cash which seems to be currently in a now or never position.

I would also like to thank Breakout Point for data that I used in preparation for the podcast. Breakout Point is a great platform for those interested in tracking ongoing short campaigns.

If you want to ensure that you do not miss any new activist campaigns or any updates to already published reports, be it SEC filings, new tweets by short-sellers or press releases by the targeted companies, do take advantage of my 10% discount code for the first two months for a subscription to Breakout Point.

You can claim it by going to breakoutpoint.com and subscribing with the code ‘podcast’. Affordable and flexible subscriptions provide a complete and timely overview of what is happening in activist shorting.

Tickers & Reports

• Valiant Varriors on Vitasoy
• Wolfpack on QTT

Episode #10 - Week 13.12

This week I am going to look at two new campaigns.

One will be from Citron about the infamous bike company Peleton, subscribers of which are now valued by the market with a price of one bike and 28 years of their subscription plans. Citron believes that this makes the company extremely overvalued.

The other will be from Aurlies Value which targeted NBIX a pharma company that employed at least 64 employees from Avanir which had to pay a large fine for allegations of fraud and kickbacks. Chief Commercial Officer of NBIX is supposedly the same person as the one who was heavily involved with an alleged kickback scheme in Avanir.

I will also provide an update regarding ATNX which is short of Viceroy and talk about a relatively new short-selling website called Utopia Capital and their focus on small-caps which showcase supposedly dubious share price action. 

Before we start, I would just like to remind you that all you hear on the podcast are opinions. I am not a registered investment advisor, please do your own due diligence. Short selling can hold risks that are different from going long.

I would also like to thank Breakout Point for data that I used in preparation for the podcast. Breakout Point is a great software tool for investors interested in tracking ongoing short campaigns.

Tickers & Reports

Citron on Peleton (PTON)

Aurelius Value on Neurocrine Biosciences (NBIX)

Utopia Capital on GRN Holding Corp. (GRNF)

Episode #4 - Week 08.11

This episode contains the following;

A look back at Japanese biotech that has not been able to push a single drug to phase 2 in 13 years, and an oil & gas company which pays their investor relations director over 700,000 $ or six times the average.

Tickers & Reports

Muddy Waters on Peptidream (4587.JP)

Culper Research on ProPetro (PUMP)

Note: The IR salary of Sam Sledge is more like 6x than 7x just to be precise. 

 

Episode #1 - Week 25.10

This episode contains the following;

A look back at a medical device company that is allegedly overcharging insurers, a biotech that looks like a classic US-listed Chinese stock and a pair of solar companies with dubious business models. 

Tickers & Reports

• Night Market on Zynex (ZYXI)
• Viceroy on Athenexv (ATNX)
• Aurelius on Vivint Solar (VSLR)
• Pedro de Noronha on Sunrun (RUN)

Please note that in the case of VSLR the provision is actually $6.9 million instead of $6.1 million as mentioned in the podcast.