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Investing.com -- Western Union Co (NYSE:WU) stock fell 3% after Mike Alfred, founder and Managing Partner of Alpine Fox LP, disclosed a significant short position in the money transfer company.
Alfred announced on social media platform X that he is building a 2 million share short position in Western Union , stating: "I believe the business is in terminal decline and heading to zero within 2-3 years. I will explain my thesis further in the coming weeks."
The disclosure comes as Western Union has already experienced substantial stock pressure, with shares down 31% over the past year, including a 10.4% decline in the past three months.
Alfred’s bearish thesis reflects investor concerns, centering around Western Union’s high fees and slow service being vulnerable to disruption from blockchain-based alternatives such as stablecoins. The company faces increasing competition from digital payment solutions that offer faster and potentially less expensive alternatives to its legacy money transfer services.
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