Shares in Burford Capital (BUR) were crushed this week, after a hotly-trailed report from short-seller Muddy Waters accused the litigation financier of “egregiously misrepresenting” its financial metrics. The 25-page report, published on Wednesday morning but widely anticipated to be the subject of a tweet sent on Tuesday, crystallised months of growing scepticism and bearish sentiment towards the group, outlining numerous ways in which Muddy Waters claims Burford manipulates its return on invested capital and its internal rate of return.
IC TIP:
Hold
at
591.5p