Dane Bowler
Value, hedge fund analyst, REITs, long/short equity

Wheeler REIT Is Going To Zero

(Editor's note: According to Interactive Brokers, as of publication time, there are 1.3M shares available to borrow ($1.9M). Average daily volume is $122.5K over last three months.)

The Short Thesis

Wheeler REIT (NASDAQ:WHLR) has been bleeding since inception and it must be a hemophiliac because the blood won't clot. In 3 years as a publicly traded REIT, WHLR has yet to have a profitable quarter. Thus far, it has sustained life by getting transfusions through accessing the capital markets, but this is no longer an option. With external capital cut off, and out of control expenses, WHLR will simply go to 0.

Magnitude of opportunity

We anticipate about 80% profit in shorting WHLR today as we estimate it

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