Few things are more pathetic than a guy tweeting a spurious accusation…and then backing off when he’s called out on it. Let’s talk about Andy Left and Valeant Pharma (VRX). (November 03, 2015)
Lets look at Valeant Pharmaceuticals ( NYSE:VRX ), because everybody else seems to be. Andrew Left here, at Citron Research, has been bearish on Valeant ( NYSE:VRX ). He uses his own money and he publishes free reports on stuff that he deems to be overvalued. Apparently he’s got some stuff right because everybody follows this guy. Here’s what I’m saying: I think it’s probably about time to buy Valeant ( NYSE:VRX ). I would say that this would be a speculative buy; and listen to me again, this would be a speculative buy.
But here’s the thing with this dude, it’s fine if you want to go spew some stuff out there in the media, but have the sack to back it up. This guy publishes a “BS” tweet saying, “Valeant Pharmaceuticals has a better chance of going to zero than Herbalife. Citron to update, full story on Monday; dirtier than anyone has reported.” And then out comes Monday and the guy goes basically goes like, “Well, we’re not backing off of our bearish view of Valeant Pharmaceuticals, but we just want to take ourselves out of the story.” Okay, frankly that just totally shatters any creditability that this guy has.
Also, he says, “If we had subpoena power we could prove everything, but we don’t.” So this would be my question to this guy: You’re saying now, “If we had subpoena power we could prove everything, but we don’t.” Was that news to you before you tweeted and so you tweeted assuming that you were going to be able to use your subpoena power and then prove it? And then, “Oh my gosh, now we’re backing off.” No. The bottom line is, this guy is a “BS artist” on this.
The stock, again I will say it, is a speculative long, but this had a big massive “pukefest” here, on the 21st. Since that time the stock has not revisited this low of 88.50. Instead it’s very, very volatile, but look at the volume here. Another big downdraft, lower volume. This time today, a gap up, a higher high, and a higher low, retaliative to yesterday, on very low volume. So what I’m saying is, until this Andrew “Lefty” gets subpoena power, it looks to me like the selling on this thing is pretty much over. So you buy the stock now. Have a stop a little bit below 88.50, and then just pray that Andrew Left doesn’t start tweeting again. Or maybe pray that he does, and then you can buy more.
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