Two of the POS oil & gas companies I shorted last summer actually turned in good earnings (ROYL & BDCO). Who woulda thunk? Fortunately for me I was already covered.
The others (GEOI, ABLE, MPET, ISRL, FUEL (I covered), FPP (covered and now long) etc) continue to stink and I see no reason to stop shorting them (along with alt energy co's like SPIR, DSTI, ENER).
My portfolio which is up 47% annually over the last three years (although most of that gain came last year) ended with a 0% change this quarter. Given my 95:5 short-long bias in microcrap companies, and given RUT's 14% gain this quarter, I'll grant myself a victory of relative returns.
I have high hopes for Q2 though as I think we are gazing at the precipice of a minor, maybe major, correction. It won't hurt either that my biggest shorts; the Chinese crap companies (CAAS, CTDC & CHDX) should tank hard on CAAS's just reported results. It shouldn't be too late to join the ride Monday if you hurry (although I couldn't locate CAAS short shares with any of my five brokers). If you can find CHDX that would be nearly as good. And CTDC you will never find but it would be best.
What does any of this have to do with GGR (and the price of tea in China)? Nada. Well maybe something inasmuch as GGR is as high as it is merely on the basis of speculation. If the overall market begins to drop these kinds of stocks get hit the hardest (just as they benefit the most from hot markets).
It would be nice to see a 10-K as the risk section is something which shorts don't discount. It's the stuff that companies don't want to tell you about and acts as a balance to the fluffy 'find-anything-positive-and-promote-that' press releases they always issue. In fact I consider them more informative.