Noble Group's shares faced a second wave of selling despite analysts' skeptical view of an anonymously written critical research report comparing the company to Enron and assigning a 10 Singapore cent price target.
"Neither of those was really supported in the document," Conrad Werner, head of research at Macquarie, told CNBC.
Iceberg Research published a report headlined "Noble Group, a repeat of Enron," and saying more critical reports are on the way. The report alleges that the Singapore-listed commodities trader's accounting treatments were "unusual," result in "fabricated" profit and "intentionally misleads credit agencies and investors."
In a statement to the Singapore Stock Exchange Monday, Noble said it "completely" rejected" the allegations, adding that all the information cited in the report was in the public domain. After the market close, Noble issued an additional statement via SGX, disputing several of Iceberg's assertions and noting it had "a solid balance sheet and industry leading liquidity headroom."
That didn't support the share price, which closed down 5.4 percent at 1.05 Singapore dollars in mid-day Tuesday trade after dropping 7.9 percent Monday.
Interestingly, Iceberg agreed with Werner's assessment, saying in emailed comments Tuesday that its first report didn't support a comparison with Enron, but advised staying tuned for its second and third reports.
Werner specifically criticized Iceberg's assessment of Noble's 13 percent stake in Australia-listed coal company Yancoal. Iceberg claims Noble is valuing its stake at 55 times the market value of its stake, but Werner noted this has largely been true since Yancoal was listed in 2012.