China’s Streaming Platform iQIYI Retaliates Against Short Seller Report

Chinese online entertainment service iQIYI Inc (IQ) has issued a statement denying allegations made in a short report by Wolfpack Research.In its April 7 report, Wolfpack alleges that “IQ was committing fraud well before its IPO in 2018 and has continued to do so ever since.” It estimates that IQ inflated its 2019 revenue by approximately RMB 8-13 billion, or 27%-44%, by overstating its user numbers by approximately 42%-60%.According to the report, IQ inflates its expenses, the prices it pays for content, other assets, and acquisitions to “burn off fake cash to hide the fraud from its auditor and investors.” …read more

Source:: Yahoo Finance

Get our FREE Newsletter! Discover Stocks with +1,000% Upside Potential!
Join over 100,000 investors and business leaders worldwide. Discover the Next Super Stock before the rest of the crowd.
Your privacy is our priority. Your email address will never be sold or shared with anyone else.