Foreign shorters make me laugh

Was pleased to see yesterday's Bendigo result rip the faces off the Singaporean and HK hedge fund shorters.

For those who dont understand what is happening - there is a mismatch in reported PE ratios for Bendigo and BOQ - where even though the full year is over (well almost for BOQ) - the PEs are reported based on FY13 incomes.

So the hdge fund smart bunnies were betting against them on the basis they were on 19xPEs - when in fact they are at about 13.5-14xPEs.

Thats why Bendigo was the most shorted bank stock on the market - and so Bendigo's result yesterday has woken them up and made them re-assess their BOQ assumptions.


Just a funny little blind spot that meant they were totally misreading how our regionals were priced.