One of Wall Street’s most famous short sellers is calling it quits. Hindenburg Research attributed the decision to a career that “has come at the cost of missing a lot of the rest of the world and the people I care about,” though it has been increasingly difficult to be a short seller in the current environment. One doesn’t have to look far to Jim Chanos and Citron Capital’s Andrew Left, who have hung up their boots or been targeted by regulatory probes and lawsuits in recent years (don’t forget Bill Ackman).
Hindenburg has been behind some notable calls during its seven years in the business. The firm’s reports have covered companies from Nikola and Icahn Enterprises to Super Micro Computer and Roblox, which have seen the departures of executives and fines and even bankruptcies at Lordstown Motors and SmileDirectClub. Hindenburg also didn’t limit its research to the US, going after global targets, like India’s powerful Adani Group in 2023.
From the Seeking Alpha comments section: “It is very disturbing to see short sellers being pressured out of business by gov’t as they bring a necessary and useful element of accountability to the markets,” writes Guiley. “Really hope some other firms step up and play the role that Hindenburg did,” adds Zen345, though Austin Craig feels, “they can receive good tips at times, but they also write blatant hit pieces too.”