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The Battle of GameStop

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Re: The Battle of GameStop

#231

Post by PartiallyTyped »

fennecfoxen wrote: post #9
vga805 wrote: post #5

Earlier quoted context omitted.

the bull thesis has been laid out in detail for months and it's a good one, this is organic interest, Ryan Cohen and others coming over from Chewy was the most recent catalyst

People exist who in the past two days paid $150 for a share that most analysts think is worth about $14 — at a company with negative earnings for six of the last seven quarters, and minimal earnings growth over the past few years. I'm sure there was some bull case for the company, and it might have had a snowball's chance in hell around $14 or even $20/share. But at $60+ ? What on God's good earth is supposed to make…

Counter Point

$AMD was at $0.15, AMD was the only company besides Intel that actually had x86-64 patents. Intel would have never let AMD fail because they would be a monopoly and that is worse than leading a duopoly.

Notice the bean counter Intel ceo, the yields getting worse over time, the performance not improving besides a 1-2% year over year and Intel getting complacent, repeatedly to screwing over the customer with requirement of buying a new motherboard with every new release.

AMD was a steal for anyone in the know.

Counter argument 2:

Any price target posted by Citron was wrong.

Counter argument 3:

Why would any analyst give a proper price target when they can screw you over?

Re: The Battle of GameStop

#232

Post by wp381640 »

in3d wrote: post #56
dvt wrote: post #6

> The same emotion that caused us to root for the thieves in Ocean’s 11 is what makes Wall Street Bets so enticing. Put frankly, Millennials are tired of getting fucked by the man. When you’re underemployed with $100,000 in student loan debt, your financial situation feels overwhelming. You really don’t want to take the advice of your parents or CNBC talking heads [5] to invest 10% of your salary for a 4% annual retu…

Getting rich through a greater fool theory and creating a bubble in a small stock is not something I’d be proud of. You’re sticking it to the least knowledge Johnny-come-latelies who will be left holding the bag. Thinking that you’re screwing Goldman Sachs is delusional.

When Icahn does it he's a genius. When the street is challenged by a new distributed and crowd sourced hedge fund coordinated on an online forum they're fools.

I personally don't care if more people maintain this belief - but more and more funds are definitely starting to pay attention.

You could do this once a month - pick a heavily shorted low/mid-cap company and squeeze the crap out of it and reap what PE firms and institutions have sown

I fully expect the establishment to pressure the SEC to crack down because it's a new challenge and they're losing.

Re: The Battle of GameStop

#233

Post by valzam »

samjmck wrote: post #194
Spivak wrote: post #55

Earlier quoted context omitted.

> These people play with our lives and get fantastically wealthy by gambling with our retirement accounts. I’m actually kinda confused by this. Are we not rooting for them in some respect? As long as I make money too and my retirement account grows what do I care if they take some off the top? The returns I get are way better than I could get on my own.

> As long as I make money too and my retirement account grows what do I care if they take some off the top? You should care because for long term investing, an actively managed fund is very likely to underperform the market. The vast majority of hedge fund managers aren't doing anything that you couldn't do yourself, i.e. pick a few stocks out of the S&P 500 and hope that they outperform the market. > The returns I g…

Quick note: There is also FTSE Developed World, which has outperformed All-World over the last few years AND has a lower TER than most All-World indeces. You can always hold 10% Emerging Markets + Developed World.

Re: The Battle of GameStop

#234

Post by Miner49er »

ffggvv wrote: post #83

literally everyone defending wsb has a green username

I'll defend it if you want. I browsed WSB a ton in 2016/2017, while in college. Doubled my initial investment (not much) in a year, and most importantly, learned a ton. I'm still trading now, but don't browse there as much and still have success. I guess maybe I'm one of the lucky ones? I have a friend who browsed the sub back then as well. He bought some of the meme stocks at the time (mostly AMD) and has been holding since. AMD was ~$7 then and is now ~$94.

Yeah, there's a lot of dumb crazy bets on there, and it has become a bit different since options trading started on Robinhood, but it's still a great place to learn things and get investment ideas.

Most of the meme stocks have seemed to perform well (outside of biopharmaceuticals they memed about back then).

Re: The Battle of GameStop

#235

Post by [deleted] »

dingaling wrote: post #221
shouldiquitamzn wrote: post #17

I’ve made millions on WSB options plays. I can finally quit my job and stop being a cubicle slave. The visceral reaction from the media on this is disgusting. Major hedge funds got caught on the wrong side of this, and have been making a huge stink about it. CNBC to the rescue, demonizing young middle class Reddit investors. This whole thing has opened my eyes to how even my FAANG compensation is peasant money, it’s…

> demonizing young middle class Reddit investors They're not investors. Their money doesn't help the company.

[deleted]

Re: The Battle of GameStop

#236

Post by Miner49er »

SifJar wrote: post #196
Spivak wrote: post #55

Earlier quoted context omitted.

> These people play with our lives and get fantastically wealthy by gambling with our retirement accounts. I’m actually kinda confused by this. Are we not rooting for them in some respect? As long as I make money too and my retirement account grows what do I care if they take some off the top? The returns I get are way better than I could get on my own.

And likewise - if they lose loads of money, isn't that a bunch of people's retirement accounts? We're not just talking about some Wall Street traders losing some money (who can likely afford to), but regular people may suddenly be finding they can't afford to retire as soon as they had planned.

Do regular people have their money managed by hedge funds? I thought was just for the rich.

Re: The Battle of GameStop

#237

Post by glazyrin »

edgyquant wrote: post #82
engineer_22 wrote: post #21

Earlier quoted context omitted.

The first rule of Fight Club...

Except everyone knows about that sub and it does little but get the hopes of the working poor up, who then lose what little savings they have on some yolo being pushed by a more well off individual whose just having fun.

If you put forward a theory like this about Wall Street, markets in general, capitalism in general, or the political system we have, you're an 'extremist'. When it comes to a bunch of people goofing around with meme stocks on a subreddit, suddenly lots of people turn into champions of the 'working poor'.

Re: The Battle of GameStop

#238

Post by bilekas »

dvt wrote: post #6

> The same emotion that caused us to root for the thieves in Ocean’s 11 is what makes Wall Street Bets so enticing. Put frankly, Millennials are tired of getting fucked by the man. When you’re underemployed with $100,000 in student loan debt, your financial situation feels overwhelming. You really don’t want to take the advice of your parents or CNBC talking heads [5] to invest 10% of your salary for a 4% annual retu…

I cant agree with this more, I think though once the mindset takes over than a nomad lifestyle is also something that can be extremely fulfilling and changing peoples ideals of that 50's relic is key. We will probably be hampered by the extreme inequality of wealth for generations to come but I think our generation is losing patience and finding new ways to live happy. VERY Slowly but surely.

Re: The Battle of GameStop

#239

Post by josephkern »

jefftk wrote: post #58
ralph84 wrote: post #52

Retail investors are supposed to buy and hold all of the stocks, because they couldn't possibly be smart enough to pick the good ones. Hedge funds are supposed to be allowed to naked short the stocks they don't like into oblivion, transferring wealth from retail investors to hedge funds. The hysteria and pearl clutching at this wealth transfer being reversed is hilarious.

> Hedge funds are supposed to be allowed to naked short the stocks they don't like into oblivion Naked shorting has been illegal for a decade: https://money.cnn.com/2008/09/17/news/companies/sec_short_se...

You are correct GME has been on the NYSE Threshold list since 09/22/2020:

https://www.nyse.com/regulation/threshold-securities

It's still on the list.

You are only supposed to be able to hold naked shorts for "13 consecutive settlement days".

Re: The Battle of GameStop

#240

Post by thaumasiotes »

PartiallyTyped wrote: post #211
viraptor wrote: post #47

Earlier quoted context omitted.

It's still a lottery. They didn't know if there would be enough real following or if most people were just trolling. Even if they estimated that well, they still had no idea where the peak was.

Then you are not paying attention. The floating shares are fewer than the shorted shares. Even if all the floating shares were bought, there are not enough shares to cover the short's position.

So what? The same share can be bought more than once in just the same way it can be sold more than once; in fact, the one necessarily entails the other.
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