Category Archives: Research Mangement

Sahm Adrangi’s Take On Eastman Kodak’s Stock Prices

Being a good investor means being a good researcher. Being a good researcher means having the right information. However, some companies present information that is skewed to attract investors. Most investors buy shares because of the returns they get per share. The second thing they look at is the stability of the company; will it be able to stand in case the market goes down? Since most investors consider the first factor more than the second, come companies do their best to give good dividends per share or make it appear so while depriving their investors knowledge of their instability.

 

For this reason, investment managers who do due diligence in researching companies to let investors know which stocks are exaggerated are needed. Recently, Eastman Kodak Company announced an increment of 187% in their stock. This was after they had made a partnership that allows them to have an image licencing platform that is blockchain- enabled and a photocentric crypto currency. This would have been perfect grounds for their value to go up if not for their poor fundamentals and unsustainable capital structure.

 

Therefore, in having an increase in the stock prices, Eastman Kodak attracts many investors. However, these investors stand to lose in the long run because of its unsustainable capital structure. Kerrisdale Capital Management is an investment managing firm that focuses on long term investments and event driven special situations. The firm was founded and is managed by Sahm Adrangi, a graduate of Yale University; Bachelor of Arts in Economics.

 

Kerrisdale Capital’s ccc published a negative report on Eastman Kodak Company. The report he published explained his short position on the company. Sahm Adrangi said that the company’s fundamentals are not right and its capital structure cannot sustain it. Sahm Adrangi also said that this is an attempt by the company to chase the ICO craze going on in the investment market. As a result, the share increment is exaggerated. Sahm Adrangi also stated in publishing its short position, that if the share prices of Eastman Kodak fall, Kerrisdale will stand to benefit. View More Information Here.

 

View Source: https://www.cnbc.com/2016/05/05/short-seller-kerrisdale-to-target-dish-network.html