|
Post by boca1girl on Mar 11, 2019 13:02:14 GMT -5
Fidelity’s rate paid dropped to 2.75% today. No shares returned lately.
|
|
|
Post by awesomo on Mar 11, 2019 13:13:10 GMT -5
Really, the extraordinary loan rates should have been a dead giveaway that it was a pump & dump raise. People in the know were paying a 150% premium to short.
|
|
|
Post by prcgorman2 on Mar 11, 2019 14:20:41 GMT -5
What does "extraordinary" mean? And how is it a "dead giveaway" of a pump-and-dump? Not saying you're wrong. I just don't understand.
|
|
|
Post by awesomo on Mar 11, 2019 14:38:31 GMT -5
What does "extraordinary" mean? And how is it a "dead giveaway" of a pump-and-dump? Not saying you're wrong. I just don't understand. The loan rate now is 3% and certain brokerages like Schwab aren't even offering anymore. When the stock peaked at 6+, brokerages were offering common shareholders 70+% to loan their shares. That is extraordinary. That also means a lot of funds were extremely confident in shorting the stock for large gains.
|
|
|
Post by hellodolly on Mar 11, 2019 14:41:21 GMT -5
What does "extraordinary" mean? And how is it a "dead giveaway" of a pump-and-dump? Not saying you're wrong. I just don't understand. The loan rate now is 3% and certain brokerages like Schwab aren't even offering anymore. When the stock peaked at 6+, brokerages were offering common shareholders 70+% to loan their shares. That is extraordinary. That also means a lot of funds were extremely confident in shorting the stock for large gains. Can we take it to mean that we won't see a 'pump and dump' in the near future and is borrowing shares non-existent do to recent dilution?
|
|
|
Post by sportsrancho on Mar 11, 2019 14:46:19 GMT -5
What does "extraordinary" mean? And how is it a "dead giveaway" of a pump-and-dump? Not saying you're wrong. I just don't understand. The loan rate now is 3% and certain brokerages like Schwab aren't even offering anymore. When the stock peaked at 6+, brokerages were offering common shareholders 70+% to loan their shares. That is extraordinary. That also means a lot of funds were extremely confident in shorting the stock for large gains. I was going to ask the same thing but I didn’t even know how to ask it ..so the people loaning shares basically have a heads up on what’s going to happen? And what does this loan rate mean, that nobody wants to short it here?
|
|
|
Loan Rate
Mar 11, 2019 14:49:09 GMT -5
via mobile
Post by sportsrancho on Mar 11, 2019 14:49:09 GMT -5
The loan rate now is 3% and certain brokerages like Schwab aren't even offering anymore. When the stock peaked at 6+, brokerages were offering common shareholders 70+% to loan their shares. That is extraordinary. That also means a lot of funds were extremely confident in shorting the stock for large gains. Can we take it to mean that we won't see a 'pump and dump' in the near future and is borrowing shares non-existent do to recent dilution? I think if we saw another pump the loan rate would go back up? awesomo?
|
|
|
Post by awesomo on Mar 11, 2019 14:57:07 GMT -5
The loan rate now is 3% and certain brokerages like Schwab aren't even offering anymore. When the stock peaked at 6+, brokerages were offering common shareholders 70+% to loan their shares. That is extraordinary. That also means a lot of funds were extremely confident in shorting the stock for large gains. I was going to ask the same thing but I didn’t even know how to ask it ..so the people loaning shares basically have a heads up on what’s going to happen? And what does this loan rate mean, that nobody wants to short it here? Wall Street is always in the know, long before us. A low loan rate just means the demand for shares to short is less than the supply, which could be for a couple reasons (not an attractive short at this point, dilution provided more shares to short, etc.) The loan rate is offered by the brokerage firms to their shareholders, and then the brokerages themselves borrow these shares out at usually double that rate. So, if the loan rate for shareholders was 70%, brokerages were charging probably close to 150% to borrow the shares. The 150% is for a full year of borrowing, so if you borrowed $1M of MNKD shares for one month, you would've had to pay roughly $125,000 in fees at the peak for that month. You better be damn confident in your short to pay those kind of fees.
|
|
|
Post by mytakeonit on Mar 11, 2019 14:58:17 GMT -5
I guess we are in the "dump and pump" stage now ... which would be "extra ordinary".
|
|
|
Loan Rate
Mar 11, 2019 15:09:12 GMT -5
via mobile
Post by sportsrancho on Mar 11, 2019 15:09:12 GMT -5
I guess we are in the "dump and pump" stage now ... which would be "extra ordinary". 😂👍🏻
|
|
|
Post by morfu on Mar 11, 2019 17:42:40 GMT -5
I was going to ask the same thing but I didn’t even know how to ask it ..so the people loaning shares basically have a heads up on what’s going to happen? And what does this loan rate mean, that nobody wants to short it here? Wall Street is always in the know, long before us. A low loan rate just means the demand for shares to short is less than the supply, which could be for a couple reasons (not an attractive short at this point, dilution provided more shares to short, etc.) The loan rate is offered by the brokerage firms to their shareholders, and then the brokerages themselves borrow these shares out at usually double that rate. So, if the loan rate for shareholders was 70%, brokerages were charging probably close to 150% to borrow the shares. The 150% is for a full year of borrowing, so if you borrowed $1M of MNKD shares for one month, you would've had to pay roughly $125,000 in fees at the peak for that month. You better be damn confident in your short to pay those kind of fees. >> Wall Street is always in the know, long before us.
Yeah, exactly! They are all medical experts and they know the precise customer behavior to this drug and such.. How come they were so wrong with their prediction? Until now they keep spending money to short this stock, but they only made any gain once they are out under the short price (which was 6$).. minus the interest they paid.. Soooo smart the Wall Street is!
Oh and of course their games costing real lifes! (Which could have been saved without these Short games on Mannkinds back) But I guess its cheaper to buy a big Christmas present from Michael and his managment than to foot the bill! (There I said it.. since no good explanation came from him/them so far, here is the bad one!)
|
|
|
Post by traderdennis on Mar 11, 2019 18:05:40 GMT -5
Really, the extraordinary loan rates should have been a dead giveaway that it was a pump & dump raise. People in the know were paying a 150% premium to short. MNKD had a high loan rate going back to 2014 +. It was jusst in the 40%-80% range, not 150%.
|
|
|
Post by hellodolly on Mar 11, 2019 18:08:09 GMT -5
Can we take it to mean that we won't see a 'pump and dump' in the near future and is borrowing shares non-existent do to recent dilution? I think if we saw another pump the loan rate would go back up? awesomo? Sports...so, you make my point. Since the loan rates are drifting pretty far down, no 'Pump n Dump' is coming. If that's also the case, we're now seeing an organic rise in the SP which is very important, too. Then again, everything can change on a dime in the deep dark dens of WS. Today, enough shares are out there and my intuition says that this is a 'tell' by those who 'know before everyone else'. They will get to the $2.38 strike price before expiry (I think 4/29), and add more shares to the pool. My bet is that we will see more activity shortly (no pun intended) some time thereafter.
|
|
|
Post by traderdennis on Mar 13, 2019 8:28:46 GMT -5
For what it is worth, MNKD has moved off the hard to borrow list at lightspeed (Wedbush).
|
|
|
Post by boca1girl on Mar 13, 2019 8:31:44 GMT -5
For what it is worth, MNKD has moved off the hard to borrow list at lightspeed (Wedbush). I still have shares available for loan and interest paid is the lowest ever.
|
|