Reader says...
Many are concerned that shorting will continue to push the share price down.
What do you say to this?
Definitely, ComfortDelgro has been a favorite for short sellers.
There is now a massive amount of short positions in ComfortDelgro.
I see this as a good thing because it has created a buying opportunity.
Short positions have to be covered eventually and, unless ComfortDelgro's fundamentals are rubbish, short covering together with genuine buying interest would send the stock price up.
All else being equal, I would welcome more aggressive shorting as it would let me accumulate at even lower prices.
As I do not believe that ComfortDelgro's fundamentals are rubbish, I believe that the larger the short interest, the stronger the eventual price recovery would be. :)
Related posts:
1. ComfortDelgro's FA.
2. ComfortDelgro's TA.