Jehoshaphat Research put out a short report on the company (avaible on X) which basically says it does not believe it can have such low loan losses, and accuses the company of having $300M in bad loans 'hidden' on the books. It is a typical short and distort report and not GSY's first. The report also compares GSY with bank loans, which really makes no sense. GSY serves a different customer completely. GSY has a solid financial performance for more than two decades and we have more faith in the company than a highly-biased report from a short seller designed to spread fear. The short interest in the US is 3.81% and 1.25% in Canada. The short sellers do not really seem that committed here based on this short interest. The stock is 10X earnings and the valuation reflects a lot of risk already. We would not react to this report.
5i Research Answer: