JRJR Update – 23% of Float Owned & Record Traffic Day
As of the open on March 4, Groove participants now control approximately 23% of CVSL’s 11.9m share publicly traded float, up from 19% in our last CVSL/JRJR update on February 19. The buying among our community participants has again accelerated as our due diligence into the situation developing at JRJR leads many of us to believe that this stock is the most mispriced situation we have come across in the 7 years we have been looking for undervalued micro cap stocks. Yesterday CVSL/JRJR was the #2 gainer on the NYSE Mkt and it was #1 if you include the after hours trades that pushed the total gain for the day to 36.45%. But he volume was only 290k, which almost 200% higher than normal, but nowhere near what would be required to even put a dent in the short interest outstanding
Reported Short Interest per report of 2/24/16 – 290,590
Naked Short Interest per SI report of 2/01/16 – 1,950,000
Total Short Interest per reports of 2/01/16 – 2,240,590
30 Day Average Trading Volume as of 3/04/16 – 118,531
Trading Days to Cover if 100% Cover Transactions – 19
Trading Days Until DTC exchange Process (Expected) – 2-3
We do not believe that there has been any significant short covering yet. With yesterday’s volume at only 290,000 shares and the same end of day push lower that we have seen for months now, it appears that the massive short interest likely remains or is perhaps even larger than last reported. We will be interested to see if the cusip and name change that we expect to happen within the next 2-3 trading days (based on earlier filings) leads to broker calls trying to locate a borrow and significant short covering.
As we have mentioned previously, there have been ongoing discussions among several active CVSL/JRJR owners related to several ideas that we are considering for recommendation to CVSL/JRJR management. In the process of our completing the due diligence process over the last three weeks, new developments have emerged that could give CVSL/JRJR a very unique opportunity that will enhance shareholder returns in addition to making the holding of any short position in our stock a very expensive endeavor. We will share the details early next week following the publication of a related article that highlights some of the factors that was written by one of our own. One other note, our readers may find it interesting to note that yesterday was the biggest traffic day ever for the GrooveVC Blog when it did not have a new posting. Of course, we always get spikes in our visitor count when we post a new update, but yesterday’s traffic was extraordinary for a non-posting day and leads us to believe that more investors are becoming aware of the situation with CVSL/JRJR Networks.
Entry filed under: Uncategorized.