I'm not sure who I would rather have mad at me, 60 Minutes or ISIS based on the price action I would rather have ISIS mad at me as Twitter Inc. (TWTR) shares are unchanged after the terrorist group threatened to kill the CEO and employees.
If you were Lumber Liquidators the team at 60 Minutes did much more damage with its shares down 20%.
In November 2013, Lumber Liquidators (LL) hit a high of $120 per share and life was good! But flash forward to Fourth of July 2014, and a crack in the bell appeared followed by today’s action trading shares at $40. With two thirds of its value gone it took a hit from a 60 Minutes segment highlighting questionable activity in its flooring and where they bought it.
Long on Lumber?
Many hedge funds had shares in this, and word on the street was that the segment was not going to be that bad but careening through support levels and closing under $50 again will test anyone long this stock. I did see some shorts cover today near the bell, but this acceleration move to the downside started a year ago at $105 and never seems to get its head above water- curious to see who steps up now to add to the long side. I think this is a core short against long some of the builders, and I think many managers have had that trade on for awhile now and got paid again today post Anderson Cooper bringing out the big lumber.
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