The point is that it can fall, for illegitimate reasons. But it doesn't always, and that is when shorts go bankrupt.
You should really know this, but in biotech land, hedge funds have all kinds of tricks to run down stocks with criminal shorting. They will sell shares naked and then use various tricks to avoid delivering for months, effectively increasing the float and stealing money, in collusion with lenders.
Bagholders will turn into winners here. The naked short institutions are getting reckless. One billion dollars.
I saw issues with the headlines for many other companies.
"Third, the thickness readings were were done by an unusual computer algorithm, rather than manually." Interesting.
They won't do a share buyback. They'll use the cash for R&D.
"The enormous upfront payment definitely got Wall Street's attention, as Juno's CAR-T therapies are still in an early stage and that amount is unusually large for a licensing deal. On a conference call with analysts late Monday, Celgene CEO Bob Hugin said he expects to start making money from this partnership in 2020."
I don't really see a connection here. ONVO has enormous value in its technology even though the income stream isn't very strong yet.
1) They are new shares. How do you think JUNO is going to get existing shares? Are they authorized to do a buyback?
2) A scam? Really? Are you drunk? This is a BILLION DOLLARS of cash for 10% of the company... that is twice the current market value.