Small-cap healthcare and midsize consumer names are in the crosshairs. Investors need to be very careful. ...

Core Insights - Short-seller Culper Research has initiated a short position in DoorDash Inc., alleging that the company's financial success relies on a "supply crisis" solution involving unauthorized workers [1] Financial Vulnerability - The report claims that a 10-11% increase in Dasher pay could eliminate DoorDash's entire $1.9 billion in 2024 Adjusted EBITDA, indicating a fragile profitability structure [2] - Culper attributes this vulnerability to a 2021 decision to allow Dashers to sign up using Individual Taxpayer Identification Numbers (ITINs) instead of Social Security Numbers (SSNs), which do not confer work authorization [2] Workforce Composition - ITIN holders are reportedly crucial to DoorDash's operations, with estimates suggesting they could make up to 50% of Dashers in markets like New York City, responsible for 26% to 57% of all deliveries [3] Safety and Legal Concerns - The report links the ITIN system to safety lapses, citing incidents involving Dashers with criminal backgrounds, including DUIs and aggravated assault [4] - A former security engineer's lawsuit claims he was fired for uncovering fraudulent Dasher accounts associated with various criminal activities [5] Regulatory Scrutiny - Culper alleges that DoorDash is under an "undisclosed SEC investigation," as indicated by a Freedom of Information Act request [5] Market Performance - DoorDash's stock closed 1.40% higher at $258.15, with a year-to-date increase of 51.27% and a 68.32% rise over the year [6]

I’m impressed by two things, the amount of people that hated me for weeks and now agreeing with me in silence, and the amount of early buyers who think that every dip needs to be bought. If you lose money here you are absolutely retarded, short the dumb money, it’s all yours! ...

This #BitcoinOG (1011shortBTC) is closing his $BTC short to take profits.https://t.co/bZiSX6ueMT https://t.co/ooANnjHDBMLookonchain (@lookonchain):The #BitcoinOG who shorted $BTC and $ETH before the crash — making over $160M — is adding to his $BTC short again!Current position: 3,440 $BTC($392.67M)Liquidation price: $128,030https://t.co/rGmpJsvygx https://t.co/TZuCsfnu6x ...

One of our traders just caught the craziest trade I’ve seen in a long time…He perfectly shorted the entire Bitcoin move down.All entries were shared beforehand.Join our private Telegram for more signals 👇https://t.co/5JKYrm7MWu https://t.co/yWsITMpl5a ...

Even in a bull market, short sellers say certain stocks get ahead of themselves. ...

Core Insights - Short sellers increased their positions in Netflix following Elon Musk's announcement of canceling his subscription, with off-exchange short volume rising to 642,836 shares on October 1, marking a 20% increase from the previous day [1] - Despite the increase in short volume, the short-volume ratio decreased to 40.48% on October 1 from 44.32% on September 30, indicating that while short trades rose, they were outpaced by overall trading volume [2] - The current short interest in Netflix stands at 6.96 million shares, or 1.65% of float, with a cover time of 2.87 days, suggesting that the short positions are not at alarming levels [3] - The situation reflects traders taking advantage of the narrative surrounding Musk's cancellation rather than indicating a significant bearish sentiment towards Netflix [4] Summary by Sections - **Short Selling Activity** - Short volume in Netflix surged to 642,836 shares on October 1, the highest since September 18, following Musk's tweet [1] - The total off-exchange shares tracked by FINRA on October 1 reached 1.59 million, with a short-volume ratio of 40.48% [2] - **Market Dynamics** - The increase in daily short volume is attributed to intraday hedging by market makers rather than a strong structural bet against Netflix [3] - The stock price of Netflix closed down 2.34% at $1,170.90 on October 1, coinciding with the spike in short volume [3] - **Investor Sentiment** - The narrative created by Musk's cancellation provided a headline for short sellers, but did not lead to a short squeeze [4]

Core Insights - First Brands Group LLC is facing potential bankruptcy due to financial reporting concerns and has implemented measures to prevent Apollo Global Management Inc. from trading its loans [1][4] - Apollo found a workaround to short First Brands' debt without owning the loans, utilizing a complex arrangement [2][3] - The financial maneuvers surrounding First Brands highlight the challenges in understanding its opaque financing arrangements and the competitive dynamics among creditors [4][5] Company Actions - First Brands created a blacklist to restrict certain firms, including Apollo, from trading its loans [1][5] - The company relied on complex off-balance sheet financing, which has drawn scrutiny from Wall Street firms [4] Market Dynamics - Apollo's strategy involved finding a counterparty to facilitate trades without officially holding the debt, allowing it to profit from the situation [3][6] - Other firms, such as Diameter Capital Partners, also engaged in short bets against First Brands, but Apollo's position is notable due to its ownership of Tenneco Inc., a key competitor [7]

Competitive Landscape - Aster provides 300x leverage for shorting hype, significantly higher than Hyperliquid's 3x leverage on their own token [1] - Traders are leveraging competitor platforms to short hype with 100x more firepower [1] - Aster's trading volume is 2x that of Hyperliquid, despite having 1/4 the market capitalization [1] Leverage Analysis - The asymmetry in leverage offerings is a key factor influencing trading decisions [1]

General Sentiment - The industry advises against shorting the coin due to the influence of a prominent Key Opinion Leader (KOL) [1] - The industry suggests either buying the coin or engaging with alternative assets [1] Risk Assessment - Shorting the coin is considered risky due to the KOL's potential market control and unknown supply holdings [1]