Kerrisdale’s Globalstar Short Based On ‘Red Herrings’ Say Longs

Globalstar, Inc. (NYSEMKT:GSAT) is up 4% in early market trading today as bulls argue that the Kerrisdale Capital short thesis was meant to scare off individual investors who don’t have the expertise to weigh the arguments over spectrum valuation, Wi-FI congestion, signal strength and more. “We believe Kerrisdale’s real short thesis was that GSAT had become a Jim Cramer fast money stock, and that Sahm Adrangi could use his social media ‘machine’ to get the word out to short it effectively,” wrote Credit Suisse analyst Dan Wise in an email obtained by ValueWalk. “After all GSAT is a highly speculative binary event…