Sigma Labs Inc (SASI)

[GetRich1day]

Not necessarily in this new age.

Their key finding illuminates the interplay between a firm’s real economic value and its stock price, showing how traders who deliberately drive the share price down can undermine the firm’s health, causing the share price to fall further in a vicious cycle.


“What we show here is that by selling [the stock], you have a real effect on the firm,” Goldstein notes. “The connection with real value is the new thing…. That is the crucial element.”


Goldstein and Guembel find that the process only works when the intent is to damage the firm; traders do not have the same power to create a feedback loop that drives the share price up.

http://knowledge.wharton.upenn.edu/article/bear-raid-stock-manipulation-how-and-when-it-works-and-who-benefits/