Negative Bloomberg article
Today on Bloomberg News, Susan Antilla (212) 318-2359
released an article on USWDA and Liviakis Financial slamming them both for various reasons. I am not able or simply unaware of how to post this article on this forum, other than typing it in which would be too laborious. If you have an interest and are unable to access Bloomberg, email me (contained within my profile) and I'll fax it to you when I get a chance. I just hope I don't get 50 requests.
The article slammed the Company pretty hard and failed to accurately represent the opportunities that lie ahead. It mainly focused on the historical negatives and criticized Liviakis for being overly promotional in their efforts to boost the stocks of the companies they work for, and in which they have equity interests. I was enraged, to say the least, at the utterly irresponsible form of journalism represented by such a supposedly respected company as Bloomberg.
Feel free to read the article and then call or write the author with your thoughts. From what I've heard, she is a notorious short seller, looking for companies to bash rather then praise. She may be accurate in certain instances, but I feel she has left many stones unturned in her article, much to the detrement to USWDA and Liviakis. You will agree that the language used is inflammatory, libelous and exxagerative, characteristics mainly associated with tabloid journalism.
This could explain why the stock has declined. First, a group of short sellers find a stock that has run up considerably. Second, they attack the stock for a couple days, selling as many shares short as they can. Third, they call someone like Susan and tell them about this crazy stock that went from pennies to $8+ in a few months with little revenes, a shaky past, with a PR firm behind them that some argue is promotional. Bingo! you have a quick profit and shorts make their money and get out. I believe the shorts have prevailed in this instance. The selling pressure that came into the market today was minimal upon the open. Soon after, buying came in and actually drove the stock price up higher than where it opened on strong volume. This is the time to buy, now that the shorts have had their fun.
Look forward to the conference call tomorrow. I'll try and post my thoughts afterward.
Jason |
