|Ah yes, the very predictable, obligatory post to blame the shorts on the stock price going below a buck, only to be propped up by a late buy at the close. Where do I even begin (quotes highlighted)?|
1) "I think it's being manipulated by shorts who also have long positions." This has been the explanation for REFR's share price for the 20 years I've followed the stock. Believe it or not, it's possible the share price is explained by REFR's financial performance, not by short manipulators. Can you prove that the shorts also have a long position? Didn't think so.
2) "large positions accumulated by the board and management" To be fully transparent one might note that these positions were largely accumulated via board approved grants, not through buying in the open market. Management has not made a single purchase in the last 10 years plus. Noodle on that last statement for a minute or two.
3) "There's just not enough volume in this stock to cover without raising the price." Really? The short position decreased by 360K shares in just six weeks to a 7 year low as of the latest reporting period. It declined 260K shares in just two weeks. Did it raise the stock price? Don't answer - that's a rhetorical question.
4) "I don't know of many long investors..." There's a reason for that, and it has nothing to do with the shorts.
5) "I just know that some people spend an awful lot of time and energy trying to convince me and others that SPD technology has no future and that any products being developed are years and years away from affecting the bottom line of REFR." Many individuals have been saying this regarding SPD for years, and have been right on the money (sorry, poor choice of words there). And the number of posts made by the naysayers the last month probably took all of 30 minutes to write, and very little energy.
6) "I'll gladly buy shares that are being sold even though REFR has been on the "hard to borrow" list for years." Please see post 21286, where KP shows where you can find 150K shares of this "hard to borrow" stock. Also, go back and see how many times this poster has been "gladly buying shares," all the way back to when the share price was in the 30's.
7) How is this explained away by the MMs? Why are half the trades short in a stock that can't be shorted? Please see #6 for the answer to this one. It was also pointed out that the daily reporting of volume generated by short sellers is inconsistent and inaccurate.
8) "Well REFR has no debt, access to financing if they need it and a whole lot of stuff happening that is the SPD industry of the future." Another statement made by longs for the last 20 years. Remember "SPD - Everywhere you look?" And to be fully transparent, one might also note that the number of shares outstanding has ballooned from about 10M to 24M, and is likely to reach 30M in the next 12-15 months. This, coupled with the fact that REFR revenue per square foot will decline proportionately with lower unit film costs (if ever achieved) and unit revenue, means... well, it's pretty obvious what that means.
So much more here but this is more than enough. The question for me during the month of December is whether or not the tax loss selling pushes the stock below a buck, and we establish a new trading range. Seems like we're been trading between $1.05 - $1.25 for some time. Will be interesting.