I can't decide if RLD is surging because the shorts are getting out, or if new investors are getting in. Today is a great representation of how undervalued I believe many investors think this stock is. I think I'm still going to hold thru earnings despite todays big runup. My gut is earnings are great, oversees numbers are off the charts, domestic numbers are impoving, and investors start grabbing this company's huge potential.
Ya, but Imax had about 5% of float tied up in short positions. Upon recent earnings, which EPS numbers weren't great, but growth prospects were, they shot up 10%.
RLD, I would estimate, would be even more inclined to have an even bigger pop do to 4x the short interest.
I will say, I'm an IMAX guy through and through. I just think RLD might have an outstanding quarter.....Lion King, Transformers and the sorcers will do wonders this quarter, I think. We'll see in 40 mins.
Public Float: 38.25 Million Short Positions (10/14/2011): 7.27 Million Percent of Float: 19.01% Source: http://quotes.wsj.com/rld
No denying there is a massive short position in RLD. If they beat earnings and/or talk massive future prospects, I wouldn't be surprised if we had a major uptick in value tomorrow....it could make today look ho hum.
This is speculative. Don't bet the farm. Play money.