Susanne Trimbath > Quotes

“short seller has an economic incentive to sell as much as possible – to attempt to drive the price down – in order to increase profits. A simple concept from economics is at work here: prices fall when supply increases. It is as true for cars as it is for shares. For stocks, we call this decrease in price a “dilution of share value” because the price of the shares is falling not because the company performed badly but because there are simply more shares in circulation (an increase in supply).”
― Susanne Trimbath, Naked, Short and Greedy: Wall Street's Failure to Deliver

“execute enough short sales and leave them open long enough, they can have a negative impact on the ability of a small company to access capital. If that happens at a critical point in the development of the company, it can literally drive them out of existence.”
― Susanne Trimbath, Naked, Short and Greedy: Wall Street's Failure to Deliver