In my opinion, I do not believe they are genuine shareholders - more like short sellers disguised themselves as unhappy shareholders. The short sellers on the crapper site are acting like a pack of wolves. In fact, they are probably working for the same entity. My observation is that these short sellers are trying to psychologically "break" the long-term shareholders in order to get them to sell.
They are using the following tactics:
- Personally attacking the management – in particular, our CEO.
One example is that the short sellers claim the CEO shows no confidence due to the recent share sales for tax purposes. My interpretation is that the CEO is very confident, as his shares are increasing year by year. Indeed, the CEO will become an extremely wealthy man if BRN rockets up to the moon! There is enough motivation for him to launch the company to the moon!
- Talking down the company's progress every day (including Saturday and Sunday). They are trying to bombard the long term share holders days and nights - with pretty much the same contents. The ultimate goal is to induce fear until people sell, so they can cover their short positions to make profits.
- Pretending to be a chart expert – claiming that the recent rally is a Dead Cat Bounce (DCB).
As you are probably aware, all charts can be interpreted in different ways. In fact, if you go through the crapper forum on another stock 'ZIP', there have been self-proclaimed 'chartists' saying it was a DCB despite the fact that the share price itself has bounced more than 10 times in the last 12 months.
- Adding short positions. If you Google 'ASIC Short', you can see that BRN's aggregated short position has increased in the recent weeks, which coincides with the retracement of the share price from around 30 cents.
As Sean said in a recent interview, 2025 will be a good year for BrainChip!
Once some announcements drop, I can see these short sellers will probably be severely burned – just like the GameStop short-squeeze scenario happened not long ago!!!
All in my opinion. DYOR!
Good luck to all long term investors!