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Following 20% Move Higher In Two Days, Herbalife Shorts Are Sweating
Back in December, when HLF was trading in the mid-$20s, and long before Icahn's involvement in the situation was even remotely public, we laid out the case for what we thought would be a major short squeeze in the name upon Ackman's public announcement that he had shorted 20 million share of HLF stock. Well, judging by the 20% jump in the stock in the past two days, which has manifested in a nearly $200 million paper loss for Ackman, and which has sent the stock some 100% higher from our base level, has the time finally come for the massive 40% of the float that is short, to start to panic? Judging by the rapid move, we may be approaching that imminent moment when none other than Bill Ackman gets the infamous tap on the shoulder around 3 pm with a polite but firm request that the time to cover has come, leading to yet another crushing victory for the Icahnator.
Recent HLF stock move: oops.
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Can we get these two together for a beer summit?
ya gotta luv the "free market"
The short squeeze will be epic! Is there any more shares to be borrow to short? anyone know?
bill the cat said "Ackman"
The house always wins...
I don't own any HLF and don't much care which of the two sociopaths win their pissing match. I follow the rule of never getting caught in the middle of such a match, since it's good way to get wet. But thanks Tyler for the on-going education on short squeezes and such. It's much appreciated.
If they got an apartment together, they could share in the profits and losses. Just a better world.
They're both Jesse Livermores and could learn a lesson there too.
"When a man is wrong, the only thing he can do is stop being wrong."
Ackman's investment thesis is correct: HLF is a ponzi. But the stock is being manipulated higher through I-Con's activist bravado and PR. I actually feel for Bill: anybody who shorts aggressively knows these face-ripping scenarios. In June I will be thankful for the market providing a vast number of over-inflated, over-hyped stocks to re-short: NFLX, HLF, SCTY/TSLA, AMZN, the whole small cap "most shorted" list--it will be good to be a short soon.
I would have thought TSLA would have come down much faster. HLF will surely be a good short if it pulls a VW squeeze.
It's more accurate to say, that the whole game is a ponzi rather than pointing out one stock that is more ponzi than another. A hyped stock can make you as much profit as a "real" stock. Even more, if one correctly identifies and times the game. (still working on that one)
sure fire way to get rich = do opposite of what i do
sure fire way to get rich = do opposite of what i do
Ok, I'll just post once.
No special gold report today? No best day in 11 months?
I wonder if Icahn will give Ackman the courtesy of a reach around while he is giving him a good screwing.
It depends if ackman has the courtesy to pay for the lube. Unless he's going in dry?
Icahn to Ackman: "Hey Bill, you want a hurts donut?"
So Ackman went short at $45... and he didn't cover when it went to $25?
Solid. It's all about RESPECT.
http://reporter.blogs.com/.a/6a00d83451d69069e201156f409c5b970c-320wi
I guess that Bill won't be "publicly announcing" when he is "short" in a company again..."Carl Ichan, come on down...you are the next contestant on Squeeze Bill's Balls".
So at $52 Ackman is making a $200m loss, meaning (if I'm right) he was making a $550-600million (approx) profit at $25.
And he didn't cash in?
I think Icahn is scum, but this would also make Ackman a fool.
I've made a few bucks so far on this. I have some far OTM Jan calls and am hoping for the big squeeze! VW went up 4x-5x so if this puppy rips to 165 I'll be a happy camper. Figure I have much better odds here than the lottery or bernank casino. except on tuesdays, i'm long ES on tuesdays. and the end of the month, i ill go long ES on 5/30 before the big pomo end of month windo dressing.
anyone make money on the TSLA rip? i wasn't paying attn to it when ZH spojke of the imment squeeze about a month before it happened. that would bave been a nice ride too! This friday is the desimination date for shorts so we can see what the HLF short interest is. How many shorts do you think covered, 3M? any guesses?
Ackmans only exit strategy was the FTC taking his word on what he thought a pyramid scheme is.
He never made the case that HLF is financially weak instead he just said it has a business model which exploits its users (which is what makes it profitible?)
All business models take the profit from the cash received from the final sale. That is no mre a Ponzi scheme that Nike selling shoes that cost $10 in Malaysia for a final consumer price of $175.
ackman sues icahn years and years ago...finally after appeals ackman finally collects something like 10 million from icahn.....icahn get mad and now you see the rest of the story.....ackman may lose a billion plus his investors..plus his reputation....moral to the story is don't piss off icahn