Lares Capital
Hedge fund manager, small-cap, long/short equity

Omega Protein: Why The Short Case Is Flawed

Introduction

Omega Protein (NYSE:OME) stock took quite a dive on Thursday, plunging over 12% at the close. The company issued news release a day before about settling a long-running legal case with the EPA for $5.5 million, to which market reaction was generally positive. The apparent catalyst was a short case presented by an unnamed analyst succinctly identified as "LongShort 101", whose profile says that he works for a hedge fund. The only clues left are a picture of a young man in front what appears to be a Mao mausoleum and a prior similar article trashing USANA, whose price more than doubled since its publication. Not only do I disagree with the analyst, but I take offense...

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