Oklo Inc. (OKLO) shares witnessed a pre-market plunge of 5.5% on Wednesday, following news that renowned short-seller Kerrisdale Capital has taken a bearish stance on the stock.
In a brief statement, Kerrisdale Capital stated, "We're short Oklo." The firm, known for identifying companies with potential accounting irregularities or operational challenges, did not provide further details on its rationale for shorting Oklo.
Short-selling, a strategy employed by investors who believe a stock's price will decline, involves borrowing shares and selling them with the intention of buying them back at a lower price to pocket the difference. This practice can exert downward pressure on a stock's price, particularly when undertaken by influential firms like Kerrisdale Capital.
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