Why Genius Brands Stock Is Falling Again Today
Shares of kids' entertainment content developer Genius Brands International (NASDAQ: GNUS) were down 12.3% at 12:54 p.m. EDT on Monday, following the Friday release of a short-selling thesis that the company's stock is wildly overvalued, and could decline 75% from its current value very quickly.
The underlying thesis put forth by Hindenburg Research is that the company is only worth about $1.50 per share, based on its lack of proven results; questions about the value of its key entertainment properties; and expectations that recent financiers would flood the market with shares in the weeks and months ahead, cashing in on the meteoric rise in the company's stock since its capital raise in March.
Source Fool.com
