Not really. The hedge fund manager
Posted on: January 28, 2021 at 08:01:14 CT
tman MU
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Was beating that the stock would decline. Based on this they borrow share and immediately sell them. Bingo they have cash to play with.
Then they wait until the share price goes down and buy the number of shares they borrowed. They have a set period of time to repurchase the shares
The little guys in this case combined forces to drive the stock price up. Thus forcing the hedge funds to pay a monster premium to cover their short position.