RILYK - B. Riley Financial: The Bears Might Return After Licking Their Wounds (Rating Downgrade)
2024-05-29 08:30:00 ET
Summary
- B. Riley stock surged after the company filed its 10-K.
- B. Riley short-sellers took a battering in April. However, the buying momentum has dissipated.
- RILY's dividend yield of 6.5% remains attractive, but near-term catalysts are less clear now.
- Short-sellers might intensify their bets on an unsuccessful turnaround in RILY's operating performance.
- With RILY struggling to break above the $40 zone, I explain why it's time to return to the sidelines.
B. Riley Stock Surge Stunned The Bears
B. Riley Financial, Inc. ( RILY ) investors who bought RILY's significant bottoming signal in early 2024 have been rewarded handsomely. I urged RILY stock investors to consider a potentially short squeeze opportunity on RILY in early January 2024, as there were signs of a long-term low. RILY fell further before bottoming in late February 2024 at the $14.5 level, outperforming the S&P 500 ( SPX ) ( SPY ) since then....
B. Riley Financial: The Bears Might Return After Licking Their Wounds (Rating Downgrade)