European core banking provider Temenos is the latest victim of a Hindenburg Short Report. The detailed report cites interviews with 25 former employees that allegedly uncovered manipulated earnings and accounting regularities.
Hindenburg is a financial research firm that places bets against publicly traded companies when it finds evidence of wrongdoing. It has taken on many high profile companies since its founding in 2017.
You may remember it was almost a year ago that Hindenburg attacked Block with a similar report. Block’s shares tumbled the day that report was released but had fully recovered by the summer.
Predictably, shares of Temenos are down substantially today but the company has reacted quickly and already issued a press release refuting the claims in the report.
While these short sellers can provide valuable insights into the wrongdoing of public companies, we should keep in mind they are not always right.
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> Temenos Sinks Most in 21 Years on Hindenburg Short Report
The Swiss banking software firm has lost $2.4 billion in market cap. The Hindenburg Report cites accounting irregularities, earnings manipulation.
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