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Strategies & Market Trends : Shorting stocks: Broken stocks - Analysis

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To: majormember who wrote (1783)9/14/1998 4:39:00 PM
From: Vol  Read Replies (2) of 2506
 
Re: avoiding buyouts

one thing i've noticed about some of the really beaten down co's that we love to short is that some are good buyout candidates. How can we avoid these and getting really burned badly? i'm looking at limiting these shorts to co's that have neg EPS and carry a load of debt. I mean, relly, who in their right mind would want to buy one of these pieces of crap? anybody else have strategies for avoiding buyouts?

vol
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