Yeah we've hit the nail on the head, it's one of 2 things - a takeover attempt, or simply a hedge fund and institutional play in order to profit from a falling share price.
Remember, Australia is a small place, all the insto's know each other, and most the brokers are aware of the current plays. Myer is being played. The shorts are there for everyone to see on ASIC's website, and Myer has been at the very top of that shorts list for a number of weeks/months now.
The short cover period will be around 25 days, meaning that when the positive news comes, or perhaps a takeover offer, we'll see at least a couple of weeks of short covering, potentially lifting the share price up 40 - 50% in a month.
It's evident from the fundamentals that the stock has been oversold.
I can't tell you when the good news will come, or when the shorts will need to be covered. What I can tell you is that the probability of that happening is likely, and with the fundamentals looking ok at the moment, I personally think it will be sooner rather than later.
MYR Price at posting:
$1.54 Sentiment: Buy Disclosure: Held
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