I must admit that this current toboggan run is quite staggering. We are already at daily OS (oversold) and the momentum doesn’t seem to be slowing down. We’ll likely close well into the red today as well, which makes it 12 red days in a row. In Intrum’s entire stock market history, there was one 11-day losing streak in 2018, so even that record was broken now.
Since no news has come out, I personally can’t think of any other explanation for this than NC’s (Nordic Capital) sales accelerating while short sellers are constantly putting on more pressure (risen to 5.16%). It’s certainly taxing to own a stock where the main owner is straight from hell
Of course, it’s possible that another owner is also making an exit, but hopefully that’s not the case and the seller is NC, which I hope we get rid of for good soon.
The speed has been surprising, but otherwise, it’s a fairly expected drop.
After the interim report, there was a hope that NC would sell a large block to a new owner, but that didn’t happen.
The same goes for insider buying, and there has been no confirmation regarding the latest portfolio sale either.
With several potential positive catalysts failing to materialize, December’s 35-36 kr could be an indication of a floor level. Of course, if NC is in a hurry now, the situation could be different and it might be pushed even lower than that.
But this doesn’t really feel like anything other than a game of patience. When the quiet period starts, maybe we’ll jump back to around the 50 mark.
Any potential news will, of course, affect the direction one way or another on top of that.
