I don't know if CARB will give a clear answer. By their own admission there is some subjectivity to analyzing the compliance tests. All we know right now is that it has been 6 months and there hasn't been any action taken against Lumber Liquidators regarding CARB compliance.
I think Lumber Liquidators will have to rely on improved revenues and earnings to propel the stock price higher. The 60 minutes re-run didn't help, but people forget "dangerous reports" quickly because the media has a new one to pull out of their bung hole every day.
If that's your plan you might as well put a sell order at $100 and not have to watch the price action all the time.
The EPA said they are not pursuing any action related to laminate flooring at this time. CARB hasn't come to any conclusions after 6 months, so I'm really beginning to question whether the reprimand that short-sellers wanted will ever arrive. I would assume that LL would have nothing barring them from selling that laminate outside of California.
Agreed. If the price dropped to 5 it would probably only happen if a REAL threat to the business occurred. Right now it's cheap because of fear mongering and half-truths.
The problem is that LL hasn't been found guilty of ANY safety violations. Why are they going to get "fines, litigation, etc."? Right now all there has been is a 60 minutes show, and even their own test labs have denounced the tests validity for determining CARB compliance.
Short sellers have been hanging their hat for several months on a government ruling that has failed to materialize. If LL is vindicated this goes back to $40 within a matter of months.
Haha, your BS is simply laughable. You were calling everybody long a fool yesterday.
I'm getting a laugh out of the incessant bashers that have disappeared. They are probably too busy running for cover on their e-trade accounts right now to talk. Haha
The funny thing is debit people that went long at $12-$13 will only need to see $24 per-share to make more than you did.
BTW, the high trade of the day was $14.98, so your limit order wouldn't have filled. Nice try.
Yeah, I'm not splitting hairs, you're saying you basically called the top. Get a life...
"If you follow Seeking Alpha I guaranty you'll go broke."
I'll take that with a grain of salt since you can't even spell guarantee.
"Name the big investors going long. What political influence are you talking about?"
Where have you been? Tiger Management, duh...
"Show proof that Tilson is covering." "When did Tilson say he could understand a long theses at current price? Show proof"
Benzinga issued an article on August 6th and Tilson had covered 26% of his position at that time and these are Tilson's own words... “All of this said, for the first time I can now at least understand (if not agree with) the argument that some investors might think that LL’s stock is cheap."
Read it and weep.
"I guaranty you'll go broke"
I'll take that with a grain of salt since you can't spell guarantee.
"Name the big investors going long"
Umm... where have you been? Tiger Management, duh....
"Show proof Tilson is covering" "When did Tilson say he could could understand a long theses"
Tilson had covered 26% of his position by the day after Q2 results. Read it and weep.
There is more to risk initiating a short position here. Based on revenue levels, this could trade at $30-$40 within a year. This sentiment has been echoed in articles on Seeking Alpha and elsewhere.
Now big investors are going long and you have another factor involved, political influence. The short thesis relies on government rulings that have, up to this point, failed to materialize.
Guys like TIlson are covering now. He's covered some shares already and he "tipped-his-hand" about covering more after Q2 earnings because he said he could understand a long thesis at the current price. Soon there won't be anybody left to promote the short agenda besides penny-ante bears that showed up too late.
I don't think so, and LL hasn't been proven of any wrongdoing.
The story gave an update at the end that said they pulled the Chinese flooring from the shelves and that the CEO, CFO, and Purchasing Agent had left the company. They also said that LL was being investigated by a few government agencies.
(Read: "Here's an update about supposedly dangerous floor, oh, by the way, they don't even sell it anymore and there haven't been any actual charges related to the matter") Give me a break 60 minutes...
Wow... 60 Minutes may have some serious explaining and potential criminal liability over this the release of those test results. 60 minutes own testers are saying they do not feel that the results of the testing should have resulted in a "non-compliance" rating. Those Short positions could get ugly in a hurry....