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Technology Stocks : VALENCE TECHNOLOGY (VLNC)

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To: Pallisard who wrote (15997)11/12/1999 1:53:00 AM
From: Larry Brubaker  Read Replies (1) of 27311
 
<<Who set up the shorts as judges of which fledgling companies shall survive simply because this gang has the financial means to implement their demise?>>

Actually, Pallisard, the shorts do not decide anything, the market does.

Companies that continue to spend more money than they take in, go bankrupt and the stock price goes to $0, unless they can convince the market to keep buying new shares. Those that can't convince the market to buy shares at a fixed price, sell them at a variable price. Those that sell shares at variable prices attract shorts. Why? For the very reason that they can't sell shares at a fixed price. Because they have little credibility in the market.

The shorts are not the problem, they are a symptom of the problem, which is a lack of credibility. Maybe VLNC is on the road to changing this perception. For the sake of people like yourself, who seem to be blindly in love with this company, I hope so.
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