Whitney Tilson Has A Short Position In Barnes & Noble (BKS)

Whitney Tilson, of T2 Partners, said on CNBC's Fast Money that he has a short position in Barnes & Noble, Inc. BKS. He explained that this trade was very profitable, because the stock price followed the collapse in company's profits. He added to this position after the recent pop up, which happened after the announcement of the attempt to auction the company. Mr. Tilson sees that as a desperation move, and thinks that the business is in a permanent decline with no chance of reversal. He thinks that the company might be bought, but he doubts that it will be with a premium to today's prices. Whitney Tilson added that he doesn't know who is going to finance a business where cash flow is in a free fall. Barnes & Noble, Inc. BKS gained 4.01% today, and closed at $15.06.