Martin Shkreli, the Pharma Bro, Acknowledges Shorting Opendoor and Announces Public Due Diligence Effort: 'I Shorted $OPEN'
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Sep 17 2025
0mins
Should l Buy NEGG?
Source: Benzinga
Martin Shkreli's Short Position: Martin Shkreli, known as 'Pharma Bro,' has taken a short position against Opendoor Technologies Inc. at $9.36 and plans to conduct a public due diligence campaign to build a bearish case against the company.
Bearish Sentiment on Opendoor: Shkreli has labeled Opendoor as "an obvious short" and has drawn comparisons to his previous successful short call on Newegg Commerce Inc., while other short-sellers like Andrew Left from Citron Research have also criticized Opendoor's financial practices.
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Analyst Views on NEGG
About NEGG
Newegg Commerce, Inc. is a global online retailer for PC hardware, consumer electronics, gaming peripherals, home appliances, automotive and lifestyle technology. The Company also serves businesses' e-commerce needs with marketing, supply chain, and technical solutions in a single platform. It has developed an online marketplace that delivers value to consumers, brands and sellers in the technology products sector. Additionally, the Company's platforms offer a comprehensive suite of e-commerce solutions, including product listing, fulfillment, marketing, customer service and other value-added tools and services. Its core customers include both its business-to-consumer (B2C) customers and its business-to-business (B2B) customers. The Company's B2C Platforms include Newegg.com, Newegg.ca, Newegg Global and Mobile apps. NeweggBusiness.com, its B2B e-commerce platform, offers a full range of information technology, office and industrial products and solutions for various customers.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Newegg Under Investigation, Shares Plunge 17.7%
- Legal Investigation Launched: The Schall Law Firm is investigating Newegg for potential violations of securities laws, which could undermine investor confidence and the company's reputation.
- Executive Detained: On January 21, 2026, Newegg disclosed that its chairman and controlling shareholder, He Zhitao, has been detained and is under investigation, raising concerns about corporate governance.
- Stock Price Plummets: Following the announcement, Newegg's shares fell by 17.7% on the same day, reflecting investor panic over uncertainty regarding the company's future and potential losses.
- Investor Rights Advocacy: The Schall Law Firm is urging affected shareholders to participate in the lawsuit, highlighting the potential legal liabilities stemming from the company's failure to disclose critical information.
See More
Newegg Commerce, Inc. Under Investigation, Stock Plummets 17.7%
- Securities Fraud Investigation: The Portnoy Law Firm has initiated an investigation into Newegg, potentially filing a class action on behalf of investors to recover losses from corporate wrongdoing, highlighting a commitment to investor rights.
- Shareholder Under Investigation: On January 21, 2026, Newegg disclosed that its controlling shareholder and chairman, He Zhitao, is under investigation and has been detained for personal matters, leading to a decline in market confidence regarding corporate governance and affecting investor sentiment.
- Significant Stock Drop: Following the news, Newegg's stock price plummeted by $9.79, or 17.7%, closing at $45.53 per share, resulting in substantial financial losses for investors and raising concerns about the company's stability.
- Legal Support Offered: The Portnoy Law Firm is providing complimentary case evaluations and encouraging affected investors to contact attorneys to discuss their legal rights, demonstrating the firm's commitment to helping investors recover their losses.
See More
Newegg Commerce, Inc. Under Investigation, Stock Price Drops
- Investigation Launched: Holzer & Holzer, LLC is investigating whether Newegg complied with federal securities laws following the detention of its chairman and largest shareholder, He Zhitao, which may impact the company's compliance status.
- Stock Price Reaction: Following the news of He Zhitao's detention, Newegg's stock price dropped, reflecting market uncertainty about the company's future and a decline in investor confidence.
- Legal Consultation: Holzer & Holzer is soliciting legal opinions from affected investors, encouraging those who purchased Newegg stock and suffered losses to contact their attorneys for potential legal remedies.
- Company Background: Since its founding in 2000, Holzer & Holzer has focused on providing legal support to shareholders and investors, recovering hundreds of millions of dollars for shareholders victimized by fraud and other corporate misconduct.
See More
Newegg Commerce, Inc. Under Investigation, Stock Plummets 17.7%
- Shareholder Rights Investigation: Glancy Prongay & Murray LLP has initiated an investigation into Newegg for potential violations of federal securities laws, aiming to protect investor rights and pursue claims for losses.
- Controlling Shareholder Detained: On January 21, 2026, Newegg disclosed that its controlling shareholder and chairman, He Zhitao, is under investigation and has been detained for personal matters, leading to decreased market confidence in the company's governance.
- Stock Price Volatility: Following the announcement, Newegg's stock price plummeted by $9.79, or 17.7%, closing at $45.53 per share, which directly impacts the asset value of investors.
- Investor Recovery Opportunities: The investigation presents an opportunity for Newegg investors to recover losses, with Glancy Prongay & Murray LLP encouraging affected investors to reach out for more information and to participate in potential claims.
See More
Newegg Commerce, Inc. Under Investigation, Stock Plummets 17.7%
- Shareholder Investigation: Newegg's controlling shareholder and chairman, He Zhitao, is under investigation and detained for personal matters, severely undermining investor confidence in the company's future.
- Stock Price Plunge: Following the announcement on January 21, 2026, Newegg's stock price fell by $9.79, or 17.7%, closing at $45.53 per share, directly impacting investors' asset values.
- Legal Risks: The investigation may lead to potential violations of federal securities laws for Newegg, increasing uncertainty and legal liabilities for the company's future operations.
- Investor Losses: Investors affected by this incident are encouraged to contact law firms for potential claims, highlighting the market's heightened concern over corporate governance and transparency.
See More
Newegg Commerce (NEGG) Chairman Detained, Shares Drop 13%
- Chairman Investigation: Newegg Commerce's controlling shareholder and chairman, He Zhitao, is under investigation and has been detained, raising concerns about corporate governance and potentially impacting investor confidence.
- Stock Price Decline: Following the news, Newegg's shares fell 13% to $48.25 in after-hours trading, reflecting market uncertainty regarding the company's future and potentially increasing liquidity risks.
- Market Sentiment: Investors express skepticism about Newegg's fundamentals, with analysts suggesting that the current valuation is unjustified and recommending a sell, further exacerbating negative sentiment around the stock.
- Partnership Continuity: Despite the challenges, Newegg continues its partnership with PayPal to leverage AI for enhanced shopping experiences, demonstrating ongoing efforts in technological innovation that may lay the groundwork for future recovery.
See More
Newegg Under Investigation, Shares Plunge 17.7%
- Legal Investigation Launched: The Schall Law Firm is investigating Newegg for potential violations of securities laws, which could undermine investor confidence and the company's reputation.
- Executive Detained: On January 21, 2026, Newegg disclosed that its chairman and controlling shareholder, He Zhitao, has been detained and is under investigation, raising concerns about corporate governance.
- Stock Price Plummets: Following the announcement, Newegg's shares fell by 17.7% on the same day, reflecting investor panic over uncertainty regarding the company's future and potential losses.
- Investor Rights Advocacy: The Schall Law Firm is urging affected shareholders to participate in the lawsuit, highlighting the potential legal liabilities stemming from the company's failure to disclose critical information.
See More
Newegg Commerce, Inc. Under Investigation, Stock Plummets 17.7%
- Securities Fraud Investigation: The Portnoy Law Firm has initiated an investigation into Newegg, potentially filing a class action on behalf of investors to recover losses from corporate wrongdoing, highlighting a commitment to investor rights.
- Shareholder Under Investigation: On January 21, 2026, Newegg disclosed that its controlling shareholder and chairman, He Zhitao, is under investigation and has been detained for personal matters, leading to a decline in market confidence regarding corporate governance and affecting investor sentiment.
- Significant Stock Drop: Following the news, Newegg's stock price plummeted by $9.79, or 17.7%, closing at $45.53 per share, resulting in substantial financial losses for investors and raising concerns about the company's stability.
- Legal Support Offered: The Portnoy Law Firm is providing complimentary case evaluations and encouraging affected investors to contact attorneys to discuss their legal rights, demonstrating the firm's commitment to helping investors recover their losses.
See More
Newegg Commerce, Inc. Under Investigation, Stock Price Drops
- Investigation Launched: Holzer & Holzer, LLC is investigating whether Newegg complied with federal securities laws following the detention of its chairman and largest shareholder, He Zhitao, which may impact the company's compliance status.
- Stock Price Reaction: Following the news of He Zhitao's detention, Newegg's stock price dropped, reflecting market uncertainty about the company's future and a decline in investor confidence.
- Legal Consultation: Holzer & Holzer is soliciting legal opinions from affected investors, encouraging those who purchased Newegg stock and suffered losses to contact their attorneys for potential legal remedies.
- Company Background: Since its founding in 2000, Holzer & Holzer has focused on providing legal support to shareholders and investors, recovering hundreds of millions of dollars for shareholders victimized by fraud and other corporate misconduct.
See More
Newegg Commerce, Inc. Under Investigation, Stock Plummets 17.7%
- Shareholder Rights Investigation: Glancy Prongay & Murray LLP has initiated an investigation into Newegg for potential violations of federal securities laws, aiming to protect investor rights and pursue claims for losses.
- Controlling Shareholder Detained: On January 21, 2026, Newegg disclosed that its controlling shareholder and chairman, He Zhitao, is under investigation and has been detained for personal matters, leading to decreased market confidence in the company's governance.
- Stock Price Volatility: Following the announcement, Newegg's stock price plummeted by $9.79, or 17.7%, closing at $45.53 per share, which directly impacts the asset value of investors.
- Investor Recovery Opportunities: The investigation presents an opportunity for Newegg investors to recover losses, with Glancy Prongay & Murray LLP encouraging affected investors to reach out for more information and to participate in potential claims.
See More
Newegg Commerce, Inc. Under Investigation, Stock Plummets 17.7%
- Shareholder Investigation: Newegg's controlling shareholder and chairman, He Zhitao, is under investigation and detained for personal matters, severely undermining investor confidence in the company's future.
- Stock Price Plunge: Following the announcement on January 21, 2026, Newegg's stock price fell by $9.79, or 17.7%, closing at $45.53 per share, directly impacting investors' asset values.
- Legal Risks: The investigation may lead to potential violations of federal securities laws for Newegg, increasing uncertainty and legal liabilities for the company's future operations.
- Investor Losses: Investors affected by this incident are encouraged to contact law firms for potential claims, highlighting the market's heightened concern over corporate governance and transparency.
See More
Newegg Commerce (NEGG) Chairman Detained, Shares Drop 13%
- Chairman Investigation: Newegg Commerce's controlling shareholder and chairman, He Zhitao, is under investigation and has been detained, raising concerns about corporate governance and potentially impacting investor confidence.
- Stock Price Decline: Following the news, Newegg's shares fell 13% to $48.25 in after-hours trading, reflecting market uncertainty regarding the company's future and potentially increasing liquidity risks.
- Market Sentiment: Investors express skepticism about Newegg's fundamentals, with analysts suggesting that the current valuation is unjustified and recommending a sell, further exacerbating negative sentiment around the stock.
- Partnership Continuity: Despite the challenges, Newegg continues its partnership with PayPal to leverage AI for enhanced shopping experiences, demonstrating ongoing efforts in technological innovation that may lay the groundwork for future recovery.
See More
