No thing says he is stupid also: he didn't realize the earliest bid of the same value wins. He saw the bid with what he bid and didn't look at the name. I'm not saying it is or isn't I'm just applying Hanlon's Razor: Never attribute to malice that which can be explained by stupidity.
underbidder has 96 bid retractions. Shouldn't that be a red flag to eBay. I think I've retracted one bid in over 10 years.
I believe even I would be upset if I saw that happening. This is the first time I have seen a bid retraction. I really do not watch auctions or bid on auctions much anymore. I know the last one I bid on only had like two bidders and I still got it for less than my max. This does make snipping look more attractive for auctions.