Hackne, even now, imagines that shorts can somehow drive the price right down to 1 cent per share. How? Easy -- they will just rely on their own inexperience and boneheadedness. Refuse to cover. Magic!
Ok, hackne, you win. Let's say NLS opens at $0.01 tomorrow, and refuses to budge for a month.
Well, what's wrong with this picture? Is the company going to pay out 40 times its market cap each year in dividends? Why not just vacuum every last available share into the company treasury? If anyone were crazy enough to actually play this out (happens occasionally), the effect would be to take Nautilus Group private.
If folks insist on selling at $0.01, all the better.
But what's the endgame for the shorts? Their borrowed shares get called away. Shorts don't get rights, of course, only obligations. Well, ... how do you satisfy an obligation to repurchase 33% of a privately-held company?