UPDATE: TheStreetSweeper Posts Negative Article on Gold Resource Corp
TheStreetSweeper published a negative article on Gold Resource Corporation (NYSE: GORO) earlier today. The article highlights the fact that its recently hired promoter, Ian Cassel, who presented a proprietary valuation formula, which if updated with company projections, would show that Gold Resources Corp is highly overpriced.
The article continues on to highlight how Cassel's previous estimates of the company were wishful thinking, stating, "still, records indicate, Cassel obviously expected far better results from GORO to warrant the stock price that the company sports even after that dramatic slide. His early praise for GORO, as well as his conviction in its promises, now looks decidedly misplaced with the benefit of hindsight."
Important Disclosure: prior to the publication of this article, TheStreetSweeper established a new short position in GORO with the intention of profiting on future declines in the stock price. Since Aug. 31, TheStreetSweeper has sold a total of 40,506 shares of GORO short at an average price of $22.08 a share.
The full article can be found here.
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