As the craziest short squeeze in stock market history rages on, one of the most outspoken voices in the short-selling world is throwing in the towel.
Andrew Left, founder and CEO of Citron, announced via a video on social media that after 20 years his firm will stop publishing critical research on companies that it believes are overvalued. It will instead focus on more positive reports.
The move comes one week after Left posted a letter to his website saying he contacted the FBI after being harassed and threatened by traders who were incensed by a Citron report recommending that investors bet on GameStop’s decline.
Left said in the video that he’s making the switch after realizing that Citron has gone from being “against the establishment” to being the establishment.
“Now, after 20 years, we noticed something,” he explained. “We started Citron to be against the establishment, we’ve actually become the establishment.”
“The Citron narrative is going to have a pivot,” if it wants to get back to its roots, he said.
Left, 50, has indeed tangled with famous hedgies in the past. His 2015 short report against Valeant called the company “the pharmaceutical Enron,” and put him in direct conflict with billionaire hedge fund managers Bill Ackman, John Paulson and Ole Andreas Halvorsen of Viking Global.
Those funds lost billions when Valeant stock plummeted 90 percent in the months after Left’s report was published.
Left didn’t return a request for comment but expressed deeper concerns about Citron’s future in an interview with The Post earlier this week.
“I’m Dr. Frankenstein,” an exhausted Left told The Post on Wednesday evening as the so-called “Reddit Rally” hit its manic peak. “I started this whole short research thing years ago but I never thought my monster would turn on me like this.”
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