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RE: Are Short Sellers Bad People?

in #investing6 years ago

Capitalism is about money, the best vision or science is which one produces profits. More profit=higher stock price. But short sellers are picking vulnerable companies, where the business model lacks on something.

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Right. The point I'm making is that since a company's ability to profit doesn't depend on the performance of its stock price (although, sooner or later, the stock price will be affected by the company's ability to profit), the activities of short-sellers don't directly affect a business's ability to be successful as a business. Hence, on that count as well, the idea that short-sellers hurt companies is misguided.