31–40 of 198 posts
He didn’t have any answer as to the fate of new bag holders he created with his tweet. That was irresponsible. His plan to make hedge funds disclose their positions daily as some kind of a solution to overleverage makes no sense whatsoever. And he’s delusional about research skills of WSB posters as compared to Wall Street analysts.
He didn’t have any answer as to the fate of new bag holders he created with his tweet. That was irresponsible. His plan to make hedge funds disclose their positions daily as some kind of a solution to overleverage makes no sense whatsoever. And he’s delusional about research skills of WSB posters as compared to Wall Street analysts.
I disagree with Chamath’s take. Chamath sounds intelligent but it’s misplaced. It’s like analyzing Black Friday stampedes with the rationality of product quality assessment, better customer service, and overall better shopping experience. No. That’s not why these people are rushing in. Black Friday stampedes are a cascading phenomenon of FOMO + price trickery. It’s a giant mob with irrational behavior. Let’s not poli…
It’s really not a cesspool. Outside of the frenzy, they do a solid job (when things are quiet) of finding cheap stocks with a potential to move within a year. Even GME, before the phenomenon, the subreddit was mostly targeting 40 dollars around April earnings. The short squeeze was a real tactical play, but most people weren’t 100% on that as the main catalyst (as in, most people really thought the ps5/Xbox sales wou…
I really thought this was a good articulation on Chamath’s part and would love HN to chime in with their perspective. Edit: Couple of stand-out comments he made, paraphrasing: ‘The best wsb due diligence can be indistinguishable from top hedge fund due diligence, the funds don’t have an edge’. Right. It doesn’t take a genius to know GameStop will have a hard time in a cd-less world and full digital download marketpla…
Why couldn’t game stop equity go to zero? Equity is just the least senior claim on assets, it goes to zero all the time.
He didn’t have any answer as to the fate of new bag holders he created with his tweet. That was irresponsible. His plan to make hedge funds disclose their positions daily as some kind of a solution to overleverage makes no sense whatsoever. And he’s delusional about research skills of WSB posters as compared to Wall Street analysts.
Given that the short interest continues to rise (I saw estimates > 200% of float) it is possible there will be very few people left holding the bag after most sell to shorters covering their positions.
Earlier quoted context omitted.
It’s really not a cesspool. Outside of the frenzy, they do a solid job (when things are quiet) of finding cheap stocks with a potential to move within a year. Even GME, before the phenomenon, the subreddit was mostly targeting 40 dollars around April earnings. The short squeeze was a real tactical play, but most people weren’t 100% on that as the main catalyst (as in, most people really thought the ps5/Xbox sales wou…
I’ve been following it for 7-8 years now. Lots great DDs that didn’t turn out as well. After sterilization (ignoring 99% of the nonsense comments), I just see more guess work than anything else. Before GME, there was RiteAid, we all know how that panned out.
I think the funniest part of this entire phenomenon is that Robinhood is now taking money from the rich and distributing it to the masses in a more literal sense. At least for now. On a more serious note, I don't get how a stock can be 140% shorted. Does that mean once you return a portion of the shares you borrowed you have to rebuy part of it and return it again? Also when would these short sellers get margin calle…
Here's a pretty good explanation of that how that can happen: https://nope-its-lily.medium.com/gamestop-power-to-the-marke...
He didn’t have any answer as to the fate of new bag holders he created with his tweet. That was irresponsible. His plan to make hedge funds disclose their positions daily as some kind of a solution to overleverage makes no sense whatsoever. And he’s delusional about research skills of WSB posters as compared to Wall Street analysts.
I agree that he ignored a few important questions. There is the very real possibility (and it's more like a certainty) that regular people will join the bandwagon too late and get hurt. When hedge funds get hurt, they still have plenty of money to survive. When I see posts (although who knows if they are real) about putting your life savings on something like this, losing that money has very serious real-world implic…
Here's my comment I wrote earlier in my submission that was removed because it was a "dupe" (and I seem to have been throttled as a result of this transgression): I'm a bit of a centrist leaning to WSB: - I will agree the fundamentals are off. AMC, BB, GS compared to its industry competitors market cap and valuation doesn't make sense. - Counter to the above argument, it shows the cracks in the system: Many stocks ar…