True, though some shareholders may just fold up their tents, sell off and go home. Another possibility is for short-selling to drive the price down. IMO, that's doubtful as the volume on this stock is not very great even when 'news' is rumored and the difference between the current price and the covering price would not be that great.
PS...A bit of an aside, IMHO, either short-selling of pinkies should be illlegal or short-selling should also be available to retail investors. The current system in which hedgies can short and retail investors cannot means that retail investors can get haircuts they didn't ask for!
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