Why Ideanomics Stock Is Getting Demolished Today
Shares of Ideanomics (NASDAQ: IDEX) are getting demolished today, down by 45% as of noon EDT on Friday, after two short-sellers accused the company of fraud. Hindenburg Research and J Capital Research have released research reports detailing the allegations.
Hindenburg alleges that Ideanomics has a history of changing business models in order to pump up the stock price, suggesting that the recent pivot to electric vehicles (EVs) is just the latest example. Ideanomics used to be a video content company that expanded into blockchain-based financial tech before switching to EVs last year. The company has also dabbled in commodities and cryptocurrency trading.
Hindenburg posted purported evidence for its claims in a lengthy thread on social media:
Source Fool.com
