Why is short interest so high on this stock, when it has such a seemingly attractive investment profile?
-- A Vvus long
Cheating, are you still buying ogxi? What about cytk? What do you think? It is at 7 now.
They really need to cut the costs in a big way. Chevron as usual is sitting on their behinds and making small incremental moves on job reduction. They need to move agressively, start an early retirement program, cut all the marginal projects. If the oil prices continue like this for the rest of the year, they will be toast. They will be forced to cut the dividend.
Dividend is certainly in jeopardy. They need at least $70 oil to operate without cutting dividends. They need to cut their payroll aggressively. They have a huge white lephant called Gorgon that is gobbling up cash. Second quarter results will be ugly. They have to wake up NOW!
Could be a long journey, but then could get snapped by a big fish cutting the journey short. Either way you should consider getting on board. Imho.