Famous short-seller Hindenburg eyeing Asia’s richest man

Gautam Adani attracted a lot of attention last year when he became the third richest man in the world. The legendary experience of this rich generation inspired many young Indians like chicken soup. It’s just that he didn’t expect that his business empire, Adani Group, was shorted out by the well-known short-seller Hindenburg Research LLC for stock manipulation and financial fraud.

As we all know, the survey results of short institutions have always reported worries but not good news, and the tendency is obvious. In fact, no matter what the final real result is, as long as the investor’s emotions are brought up and the company runs in time, it will be successful.

Although the short-selling motive this time is to question the fraud of the group, I personally think that the overvaluation of its listed companies is the best entry point for short-selling. For example, the share prices of the two green energy and natural gas companies under the group have increased by more than 8 times in three years. If you think about it, these two companies had the momentum to skyrocket before. For example, the dividends brought by the conflict between Russia and Ukraine to the Indian energy industry are obvious. However, with the end of the epidemic on a global scale and the continued weakening of the Russia-Ukraine war, the trend of such asset prices returning to the mean this year is a high probability event.