(Check a co called IPIX or CYDY - they sued a company that published long article saying that co is worth Pennies - it impacted the SP stock dropped like a rock - company sued - the lawsuit went for long time - co won lawsuit no damages Both companies are in Pennies now
Both companies had same characteristics as AVXL - a CEO that over promised under delivered - had high compensation - always gave false promises - liked to have cc - both companies had cult following on mb and the posters believed that they had drugs that are best in class and can cure multiple diseases and FDA was ignoring them. All trials failed SP is literally less than 10 cents and mb posters still fight Good thing - one CEO was removed after 6-7 years but he made his money and screwed the co anyway
In summary - the shorts pick their target well - the target has many weaknesses and the biggest is the CEO and his credibility. They never lose money in such attacks and co does not have much defense
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