> All the big AIM fraud exposés
> 300 articles and podcasts a month
> Hot share tips
> Original investigations by our experienced team
> No ads, no click-bait, no auto-play videos
Disclosure: The author has a short position in one or more of the shares mentioned. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from ShareProphets). I have no business relationship with any company whose stock is mentioned in this article.
Shares in MySquar (MYSQ) recently more than doubled valuing the disreputable Myanmar (Burma) play at around £22 million, a ludicrous sum for a transparent scam that stands out even when measured by the exalted standards of AIM.
The trick seems to have been to feed a half-baked bid rumour to a minor financial website (Betaville) and then refer to it in a subsequent RNS, with a vague inference that it is not for sale at these paltry prices. That anyone should pay this kind of money for a company whose principal asset results from a dubious accounting conjuring trick and whose sales appear to consist of murky related-party transactions is clearly absurd.
In this frothy market people do dumb things but no one is that dumb. Orchestrating bogus bid rumours might be thought to be somewhat unethical, perhaps even against the rules, but this is AIM - and if there is one thing that CEO Eric Schaer must have learned in his two and a half years on the casino, it is that misleading, inaccurate and contradictory statements, even when proven and in plain sight, go, in the clear majority of cases, completely unpunished.
The reason for ramping the stock now is unclear but, despite his assurances to the contrary, a discounted placing seems likely to result. The shares represent excellent short value if borrow can be found. I am looking hard.
Lastly: here is a prediction for 2018. I think that this is the year that Tesla (NASDAQ:TSLA), the poster child of this bull market, finally gets its comeuppance whatever the broader market does. It's just come up with yet another massive miss on Q4 model 3 sales. Elon Musk’s posturing and excuses are becoming more and more eccentric and bizarre. Even the diehard believers are beginning to sound a bit defensive. The stock trades 24/7 and is currently around $310, down $7 from the NASDAQ close. I can see sub $100 by Christmas. I am short.
This article first appeared on the Nifty Fifty website which Tom Winnifrith runs with Steve Moore & Lucian Miers. To access the website ahead of the next share tip from Tom & Steve and a new shorting piece from Lucian shortly click HERE
Never miss a story.
This area of the ShareProphets.com site is for independent financial commentary. These blogs are provided by independent authors via a common carrier platform and do not represent the opinions of ShareProphets.com. ShareProphets.com does not monitor, approve, endorse or exert editorial control over these articles and does not therefore accept responsibility for or make any warranties in connection with or recommend that you or any third party rely on such information. The information available at ShareProphets.com is for your general information and use and is not intended to address your particular requirements. In particular, the information does not constitute any form of advice or recommendation by ShareProphets.com and is not intended to be relied upon by users in making (or refraining from making) any investment decisions.
Comments are turned off for this article.
Search ShareProphets |
Stock market news |
Recent Comments |
Site by Everywhen