All the hedgies (except for Carl) have bailed out of HLF before the Tuesday ER. Retail finds this out over the weekend. Voila! Many bagholders are born! The exiting hedgies will create its own momentum and drive the price down.
Anyone who holds through earnings is playing with fire. I am short with puts.
I have the stronger hand. Longs can get walloped down to $26 easily. As a reminder, it was Loeb and Chapman that bought share at $26 which drove the price above $40. They have sold and pocketed their profits. Big talking Carl does not own many shares: Most of his action is with calls.
If the hedgies thought HLF's fundamentals are good and the ER will be a positive event, why did they bail? A bagholder is born this weekend!