Thread by @TRUExDEMON

So I'm reviewing $XELA and I have seen that the company is rather beat-down lately, being one of the few Fintech sector growth stocks that has been consistently putting out good news, announcing profitable customer contracts, yet continuously selling off...

DD Thread to follow:

What I find so curious is that $XELA has had a run of good luck in terms of its financial debt restructuring, adding up to a $6M yearly savings on interest, plus multiple new contracts with international and domestic clients adding over $180M to their revenue in just 3 months.

$XELA even announced a massive share buyback for $100M at $1.25 per share in mid-April (extremely generous, given the market price of $0.42 that day

But the stock barely moved?

This is why. 3/8 - 3/15, an average of 15% of the stock traded that week was SHORT EXEMPT.

And March 24th? That the week $XELA listed their convertible preferred stock. It was crushed at open and never had a chance to make any money.

Short Exempts were 13% of total volume that day.

Mother fucking Market Makers are murdering $XELA stock in broad daylight.

They announced a HUGE $136M contract and a Refinancing of $150M of debt back to back on June 21 & 22.

Guess what? Short Exempts. Like fucking crazy.

Same with every single announcement they've ever made.

I guess the fucking liquidity fairy is at it again.

I'll give it to you straight-up. $XELA is bleeding to death, but it's not just because they have bad financials, are losing money, or have a lot of debt.

It's because market makers are routing orders away from exchanges whenever they have some good news and kill the NBBO bid.

Every single god damn broker that handles $XELA orders is only interested in routing to the cheapest fucking place, and that's always Citadel...which... guess who owns a sizeable short position in $XELA since March while we're on the topic. 🙄

Fucking front-running scumbags.

This horse shit is what's wrong with the fucking market. $XELA may not be a supremely profitable company, but FFS, it's actually improving and putting out good news regularly, including their vote approving a reverse-split to get themselves back into NASDAQ compliance today.

Right now, NASDAQ compliance is the most important thing for $XELA to stay listed. Getting above $1.00 before August is their priority.

Coincidentally, I'm seeing that market makers are massively overleveraged, and the short interest does not reflect the on-loans accurately.

Based on the number of short exempts that were printed against $XELA, as much as 4% of their free float may be short-exempt and at risk of failing to deliver in just this week alone.

The exempts and FTDs for the past month could be anywhere from 5 - 8% by that same logic

Just seeing the short exempts visualized against the total volume over the last 3 months is enough to tell me that $XELA's retail trading is being purposely suppressed in order to smother the price long enough to force a delisting.

I'm beyond frustrated by this shit.

The options chain is already overloaded as hell, so there's no need to even bother focusing on that side of it.

Either $XELA buyers start sending their orders to the exchange, where they ACTUALLY affect the price, or we get fucked over for the 1,000,000th time.

In all seriousness, this isn't financial advice because 99.9% chance we get screwed on yet another stock that is likely to delist because Market Makers are able to just make-up prices for retail to buy at, then drag the bid down 20-50% and go collect it from all the paper hands.

I have a position in this company, myself, but honestly? Both I and everyone I know will probably get screwed on it because nobody sends their orders to the goddamn lit exchanges.

If you're going to buy this stock, fucking route to NASDAQ FFS...

Good luck finding a broker that won't steal from you by sending your orders to the twin liquidity black-holes that are Citadel Securities and Virtu...

Jesus Christ, this fucking market...

Yo @ExelaTech, seriously, if your company doesn't start blowing the whistle at the @SECGov and start investigating this situation, your company will be dumped to the OTC market before 2024, mark my words.

Your company is being targeted.

Do something about this. ☝️

@threadreaderapp unroll please