Plunged 40% yesterday after Muddy Waters accused it of cooking the books. Shocking really that a FTSE 100 company could be shattered by just an accusation really. I’ve jumped in hoping for a dead cat bounce. Thoughts on this folks?
Personally for me it’s so high risk
I am taking a position here and holding for the long term
My initial reaction is that there are plenty of decent companies out there, I’d probably not risk one with such a whiff about it. That said, question I’d be interested to get people’s opinions on:
Is NMC Health going tell us the name of the independent accounting firm that is going to review Muddy Waters’ claims? If not, then I think we have to at least question how independent that will be.
What is Muddy Waters’ track record like on being right?
I know they were right about Sino Forest, but wrong about American Tower Corp. I found this from 2015: https://www.straitstimes.com/business/companies-markets/muddy-waters-once-perfect-short-sale-track-record-losing-its-lustre
I’m £50 quid profit on my flutter. Bounced 30% in one day, unfortunately my buy in point saw a 24% drop before that. Either way I’m happy.
Still holding. It should move a bit more North.