Comments
Goofy_AF t1_j9u8ix2 wrote
Hindenburg group? Isn't that research group run by a know shorter, i forgot his name
amulatafatal t1_j9ue6ev wrote
ConceptualEconomist t1_j9ugh3h wrote
It is, but just because he shorts doesn’t mean he’s lying or incorrect. But it is something that should be at least considered.
Goofy_AF t1_j9uuytb wrote
I thought it was Andrew something
Edit: Andrew Left
Goofy_AF t1_j9uv5dq wrote
I was thinking of Citron
IMovedYourCheese t1_j9wo9nq wrote
The problem is that it's a self fulfilling prophecy.
Hindenburg shorts a company and then publishes a damaging report against them. People go "omg Hindenburg published a report, that means the company's share price could fall, so I should sell my shares before that happens". Because everyone thinks this way the share price falls by a lot, and Hindenburg makes a ton of money on their short position. Everyone then goes "wow their report was perfect". After a while they repeat this with another company with the same results.
Nothing they did was illegal, but it's still exploiting the workings of the market. It doesn't matter whether the report is correct or not, nobody is going to read it anyways. And ultimately it is opinion not fact – they say so themselves. What matters is how people react to it.
Nascar_is_better t1_j9xmj4w wrote
Holy shit the cope.
They back up their short selling with data. Read it: https://hindenburgresearch.com/adani/
If things really worked the way you claim, they'd just be shorting everyone and they'd be the richest entity on the planet. They have to keep themselves reliable, and they do it by not just picking a couple of stocks and deciding to short them for no reason. If they are every wrong, they stand to lose more than they're worth. That's how risky short selling is. They wouldn't short sell anyone unless they're VERY sure of the results.
They have to make sure the stocks they short actually have massive weaknesses, and they backed that up with the article I linked. tl;dr: Adani is a fraud.
Adani's group delivered a rebuttal, too. tl;dr: India stronk, dude just trust me. Investors read it and promptly still trusted Hindenburg.
The fact that the stock still continues to slide indicates that no one trusts him anymore and Adani's probably lying out of his ass. People take investments seriously. If Adani's stocks really were undervalued and Hindenburg's allegations a bunch of BS, the stocks would have at least partially rebounded by now, like when Tesla got shorted by Citron.
Gunzenator2 t1_j9y5gal wrote
Hindenburg people want to get paid for doing their research. They exploit a weakness in the system for profit. Like 95% of corporations do basically the same thing everyday.
long-term_lurker t1_j9yobwt wrote
Is Nathan Right?
dipurai OP t1_j9u614v wrote
Source: BSE
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