I have a very diversified portfolio and while I do hold GEM I...

I have a very diversified portfolio and while I do hold GEM I don't have enough to hurt badly if it continues to drop. I have read the various threads on GEM over recent times with interest and I, too, have been very "surprised" by the number on non-holders who comment. For what its worth, my view of why the share price is dropping could be attributable to the following factors:
1. The activity of shorters. Clearly they are right on to GEM (see some figures in an earlier post on this thread). The good thing for holders in this regard is that they will eventually get sick of playing with GEM's SP and start ravaging something else. This is just the way the stock market seems to operate.
2. The perception by some that government will pull the pin on childcare. Australia is a growing country and the need for childcare places will continue. Up until recently, the government had as policy the throwing of ludicrous amounts of money at the paid parental leave scheme. Can anyone seriously believe that they would end/diminish the subsidising of childcare places?
3. The perception by some that GEM resembles ABC Learning. Perhaps the nightmares experienced by those involved in the Eddie Groves fiasco are rising to the surface. If one actually looks closely at what happened with ABC Learning then there is nothing to fear with what GEM is doing.

GEM continues to increase profits, pay handsome dividends and grow. Sure there is some debt, but in the scheme of things that seems to be entirely manageable. IMO GEM is a buy/hold and will come out of this current slump in due course. But as always DYOR.