"The shorts have excessively overextended themselves, it's still a good opportunity to make some good money. "They kind of go hand in hand in this play," he said. But he said there are reasons to bid up the company's shares even without trying to get in on a short squeeze. Rodger said he tends not to trade in stocks experiencing a short squeeze because he doesn't share that "fight against the power" ethos of teaching Wall Street a lesson that many retail traders tend to have. "Based on fundamentals like price-to-sales ratio, it should be around $8." The company's revenue growth is slowing and the debt load is a concern, but the underlying business still generates cash flow, Rodger said. "Realistically, it still isn't close to where it should be," he told CBC News in an interview, noting that before the recent flurry, Tupperware was trading at less than its book value - a metric for measuring a company's value by tracking what its components are worth from an accounting perspective. Calum Rodger of Winnipeg, who produces investment content on his YouTube channel Trending Stocks, said despite whatever problems Tupperware has, a stock price below $1 wasn't justified, so trading in shares to a point where they are now worth more than $200 million is more than warranted. While a short squeeze is clearly afoot, some investors say that's not all that's going on. Make it a memorable day for all with the most unique National Science Day wishes 2023, WhatsApp status, quotes and images. So-called meme stocks like GameStop rose to prominence in 2021, with shares in the video game retailer finding themselves at the centre of a battle between retail traders looking to teach Wall Street a lesson, and sophisticated investors known as short sellers. In June, the NYSE warned that its shares were in danger of being delisted due to their newfound status as a penny stock. But it's been a slow and steady decline ever since, as its main business model of selling directly to consumers has fallen out of favour.īy the early part of this year, the company was warning investors about "doubts regarding its ability to continue as a going concern," sending the stock tumbling to less than $1 a share. November 16 th is observed as National Press Day. National Press Day 2021 Wishes, Quotes and Messages. The company has had an up and down few years of late, with sales booming in the early days of the COVID-19 pandemic as demand for food storage containers went through the roof - with consumers eschewing restaurants and dining almost exclusively at home amid lockdowns.Īs recently as 2021, Tupperware's shares were changing hands at more than $40 apiece on the New York Stock Exchange. National Press Day 2021 Wishes to share with your loved ones on WhatsApp, Instagram, Facebook status. The company revealed in April that it was in danger of going out of business, with sales slowing just as interest rates on its $700-million US debt load moved in the opposite direction. Warning that you might go out of business isn't the sort of thing that tends to send a company's stock soaring, but that's exactly what happened to Tupperware recently.
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