The Bear Cave #348
Welcome to The Bear Cave by Hunterbrook Media! The last premium articles for paid readers were “ More Problems at Ethos (LIFE) ” and “ Problems at Dream Finders Homes (DFH) .” Our next special investigation is scheduled for Thursday, November 5. Subscribe now New Activist Reports Muddy Waters published a report on Edison International (NYSE: EIX — $21.5 billion) and its legal liability. Muddy argued that its utility subsidiary overlooked foreseeable danger by failing to consider shutting down transmission circuits before the January 2025 Eaton Fire. Los Angeles County investigators concluded that electrical arcing at an Edison tower caused the blaze. Muddy Waters estimates $4.3 billion in wildfire-fund reimbursement exposure if regulators find the utility acted imprudently, potentially exceeding $20 billion if they find conscious or willful disregard for public safety. Grizzly Research published a report on International Games System (TPEx: 3293 — NT$224 billion), alleging that the Taiwanese game developer’s profits depend heavily on illegal online gambling in Southeast Asia. The firm argues that IGS’s connections to JILI Games raise questions about undisclosed related-party transactions, citing overlapping game code and trademark records identifying IGS subsidiary FaDa as the applicant for JILI’s trademark. Grizzly warns that enforcement could threaten earnings and the licenses held by IGS’s TaDa business. It cites a general UK Gambling Commission warning that suppliers risk regulatory action when their games appear on illegal websites serving British consumers. J Capital Research published on Maase (NASDAQ: MAAS — $5.31 billion), questioning its AI ambitions and the value of roughly $660 million in acquisitions paid for largely with shares. The former Chinese financial-services company expanded into health products, electric-vehicle charging, and computing, but J Capital noted its August prospectus listed just 126 full-time employees. Maase subsequently announced a $50 million share placement to support its AI strategy. J Capital argues that building a competitive computing business would require substantially more funding, exposing shareholders to further dilution. Guardian Research published on Gloo (NASDAQ: GLOO — $280 million), arguing that the technology company’s AI story obscures cash burn, acquisition-driven growth, and conflicts involving CEO Scott Beck. The October 16 report cites a going-concern warning, $39.3 million of cash against $28 million of first-half operating cash outflow, and unresolved internal-control weaknesses. It also highlights Beck’s personal commitments to repurchase investors’ shares at $18–$27, far above the October 15 closing price of $3.26, and the possibility that he could sell shares to fund those obligations. Guardian argues another capital raise could dilute shareholders. Gloo has said it expects adjusted EBITDA profitability in its fourth quarter. Introducing Bullpen.News Edwin Dorsey, founder of The Bear Cave, just launched Bullpen.News , a new, free platform that tracks stock pitches from Substack, Twitter, Value Investors Club, and more, bringing them together in one place. You can filter ideas by sector and market cap, search by ticker, and get a free daily email featuring the latest stock pitches. Get The Daily Recap Discover stock ideas at Bullpen.News . Notable Departures Recent filings, announcements, and Canary research highlighted the following departures and potential departures: Chief Financial Officer of Sinda (NYSE: SIND — $1.85 billion) stopped serving October 13 after approximately nine months in the role. The finance vice president will cover the position temporarily while retaining his principal accounting officer duties. Sinda’s latest quarterly filing reported unresolved material weaknesses in financial reporting controls, including insufficient separation of treasury responsibilities and problems estimating reserves against value-added-tax receivables. Interim Principal Financial Officer and Principal Accounting Officer of GBank Financial Holdings (NASDAQ: GBFH — $254 million) resigned effective October 13, approximately five months after assuming the interim financial-officer role. Her exit follows the July departure of the CFO. Senior Vice President and Chief Financial Officer of Mueller Water Products (NYSE: MWA — $3.40 billion) will step down following its annual filing in November, approximately 20 months after taking the position. Her departure follows the February retirement of the CEO and the September exit of the chief human resources officer. Corporate Compliance Officer of Ecopetrol (NYSE: EC — $36.6 billion ) left on October 13 after approximately 16 months in the role. His exit follows the July departure of president Ricardo Roa. In March, Ecopetrol disclosed that Colombian prosecutors had charged Roa with alleged influence peddling, while emphasizing his presumption of innocence. Chief Customer Officer and Chief Product Officer for AI and Emerging Products at MongoDB (NASDAQ: MDB — $27.2 billion) apparently disappeared from the company website’s executive roster, roughly seven and six months, respectively, after appointments announced earlier this year. Their apparent exits follow CEO CJ Desai’s September 28 departure for Meta after less than a year in the job. The Chief Nuclear Officer, the Vice President of Nuclear Supply Chain and Compliance, and the Chief Site Officer of Fermi (NASDAQ: FRMI — $2.02 billion) were all removed from its website. In its August quarterly filing, Fermi reported that a federal court had subpoenaed records and the SEC had separately sought documents about the company. Departure research provided by Canary Data . News of the Week Bloomberg reported that the cost of insuring CoreWeave ’s debt reached a record, with credit-default swaps implying a greater than 60% chance of default over five years. Its bonds also weakened as the AI cloud provider discussed raising capital from insurers. Six Flags temporarily closed its Goliath roller coaster and nine other rides after a passenger was ejected and killed at its Georgia park on October 12. The company’s shares fell 14.4% the following day, adding to pressure on an operator carrying approximately $5 billion in net debt. Hackers took control of supermarket refrigeration systems at at least 350 French stores, including locations operated by Carrefour , forcing employees to discard spoiled meat and frozen food. Japanese retailer Arclands, meanwhile, reduced its previously reported annual net profit by 26.4% after uncovering improper accounting at its Pets-first subsidiary. Arclands said the subsidiary’s CFO was responsible for improper financial reporting and acknowledged that accounting and control problems identified during the acquisition had not received adequate follow-up. And the Treasury Department announced more than $1.21 billion in penalties against Bank of America for anti-money-laundering and sanctions violations. The bank admitted willful Bank Secrecy Act violations, and regulators said it failed to report more than $5 billion in suspicious transactions promptly. Tweets of the Week @adamfeuerstein on Soleno's drug VYKAT XR, now owned by Neurocrine $NBIX (no position). Detailed article that's a must read. The circumstances surrounding the kids who died after starting the drug are devastating - excerpts below. Highlights from…","username":"ScorpionFund","name":"Scorpion Capital","profile_image_url":"https://pbs.substack.com/profile_images/1346638283040841728/j0_1jLAH_normal.jpg","date":"2026-10-16T16:46:02.000Z","photos":[],"quoted_tweet":{"full_text":"New story from me: \n\nConcerns grow on safety issues tied to Neurocrine $NBIX rare disease drug, Vykat.\n\n18 months after its approval to treat patients with Prader-Willi syndrome, Vykat has been tied to seven deaths and 100 hospitalizations. \n\nI obtained case reports on the seven","username":"adamfeuerstein","name":"Adam Feuerstein ✡️","profile_image_url":"https://pbs.substack.com/profile_images/1387730248394059779/dhhPgaLD_normal.jpg"},"reply_count":2,"retweet_count":1,"like_count":21,"impression_count":9665,"expanded_url":null,"video_url":null,"video_preview_media_key":null,"belowTheFold":true}" data-component-name="Twitter2ToDOM"> @coffeebreak_YT to discuss our investigation into how nursing homes collect taxpayer dollars for care they don’t provide, and boost profits by leaving patients without the staff they need. ","username":"hntrbrkmedia","name":"Hunterbrook","profile_image_url":"https://pbs.substack.com/profile_images/1973484274704580608/uPBoQjUj_normal.jpg","date":"2026-10-13T21:34:13.000Z","photos":[{"img_url":"https://substackcdn.com/image/fetch/$s_!rIIi!,w_1028,c_limit,f_auto,q_auto:best,fl_progressive:steep/l_play_button_usfui2,w_88,e_colorize:0/https%3A%2F%2Fsubstack-post-media.s3.amazonaws.com%2Fpublic%2Fimages%2F__ss-rehost__tw-video-preview-13_2110121511935684609.jpg","link_url":"https://t.co/QtoEi9k3Ue"}],"quoted_tweet":{},"reply_count":6,"retweet_count":20,"like_count":133,"impression_count":37073,"expanded_url":null,"video_url":"https://video.twimg.com/amplify_video/2110121511935684609/vid/avc1/1280x720/ZNV0BVuem49uSZvD.mp4","video_preview_media_key":"13_2110121511935684609","belowTheFold":true}" data-component-name="Twitter2ToDOM"> gartner.com/en/newsroom/pr… ","username":"edzitron","name":"Ed Zitron","profile_image_url":"https://pbs.substack.com/profile_images/2070326703281553408/ILxQjQF7_normal.jpg","date":"2026-10-14T18:46:00.000Z","photos":[{"img_url":"https://pbs.substack.com/media/HUnLkLdaUAAwfDn.png","link_url":"https://t.co/XL44WuoDje"}],"quoted_tweet":{},"reply_count":42,"retweet_count":178,"like_count":952,"impression_count":81903,"expanded_url":null,"video_url":null,"video_preview_media_key":null,"belowTheFold":true}" data-component-name="Twitter2ToDOM"> Until next week, The Bear Cave New? Sign Up Here Got Feedback? Just Hit Reply. Got tips? Share with us at ideas@hntrbrk.com. The Bear Cave is Not Investment Advice. See Full Disclosures Here . Based on Hunterbrook Media’s reporting, Hunterbrook Capital is short $LIFE, short $LEN and short $MRP at the time of this publication. Positions may change at any time. Twitter: @BearCaveEmail . Email: ideas@hntrbrk.com.