Eagle, I agree. A short squeeze could be seen as a mechanical reset for valuation, but maybe it will act as a cleansing mechanism, to purge away manipulative short interest and make way for a stable, institutional-grade capital structure.
My thoughts on how NWBO can benefit from a short squeeze, a scenario:
- Set up an ATM (At-The-Market) financing program
- DCVax-L approval is catalyst for initial spike
- Retail is “diamond hands”
- As price increases, brokerages will trigger automated forced liquidations on Shorts
- The squeeze comes in waves
- NWBO activates ATM, sells into forced buy orders (raise cash at peak prices, minimal dilution)
- As Shorts cover, those shares are returned to brokerages. They create a pool of “clean” share liquidity, add to float, a threshold for “investability”.
- Large Funds require having a large pool of share liquidity (to enter / exit without major price swings). Large Funds start to build initial positions.
- Long term catalysts (Flaskworks Eden and Grade C labs rollout, “Franchise” partnerships, commercial developments) provide the fundamental valuation floor against squeeze volatility.
- Price rises to $4/share and NWBO applies for uplist to an Exchange.
- Short squeeze volatility is replaced with “structural demand” in anticipation of Institutional buying
Later NWBO will do a large financing with Institutions, but from a position of strength, with cash in its treasury and multiple catalysts for future upside. The end result is NWBO has charged the Shorts a massive penalty to exit their bad bets.
Bullish