Shorts will need to cover imo, Sumitomo deal took CR and balance...

Shorts will need to cover imo, Sumitomo deal took CR and balance sheet risk off the table. Earnings downgrade was expected by shorts, part of why they expected a CR would be needed. Shorts aren't stupid, by definition they are almost entirely professionals and playing with serious money. 17% of a stock is a massive short position and was sending a huge signal to the market. The smartest people in the room, with help from insiders from NUF no doubt, knew things were going from bad to worse and that liquidity would be a problem. NUF was apparently unsuccessfully trying to sell down non-core business units, they needed more debt headroom against potential disasters and a seemingly endless amount of hits.

Analysts out today all downgraded price targets because of earnings downgrade but I doubt many hadn;t already factored in an earnings downgrade given the US weather problems etc were well known and nothing indicated good times had returned to NUF. Importantly, analysts all agree that Sumitomo conv loan deal takes the big CR downside away and is an important signal that probably the bottom is in, buying time to wait for the various business headwinds to abate and the business to turn around. I'm not saying things can't get worse, disasters happen, climate is unpredictable etc, but longer term investors should be encouraged by this great deal and look through the earnings disappointment. Nobody rings the bell at the bottom when sellers are capitulating into yesterdays bad news when the future becomes all upside, but this Sumitomo deal looks as close as you get.

DYOR, Good luck