Bought a bit of SPCE out of principle
I actually saw that and wondered what are the chances that I wake up tomorrow with that stock high as hell as a redirection from gme buyers...
Yeah it's next up.
High Short Interest Stocks
11–20 of 286 posts
Re: High Short Interest Stocks
#12If a position is shorted under 100%, does that give the shorts enough wiggle room to close their position?
The shares available for purchase is also a significant factor. Most companies have some shares held by employees/execs/board members that cannot be traded on a whim.
Re: High Short Interest Stocks
#13Earlier quoted context omitted.
There's nothing particularly different between a company having 99.99% short interest and 100.01% short interest.
If the shares were printed on stock certificates how would you get to 100.01% short interest?
When you short a stock you sell it. Whoever you sold it to can loan it again. There's no limit to that.
Re: High Short Interest Stocks
#14Earlier quoted context omitted.
There's nothing particularly different between a company having 99.99% short interest and 100.01% short interest.
If the shares were printed on stock certificates how would you get to 100.01% short interest?
naked short selling. https://en.wikipedia.org/wiki/Naked_short_selling
Re: High Short Interest Stocks
#15I’m surprised this sort of attack has never be carried out before. Is it just because no one ever thought there’d be a crazy army of retail investors that could be so coordinated and so irrational and large enough to matter?
...it has though? This isn’t a new thing. Happened with VW in 2008, for example.
Re: High Short Interest Stocks
#16What's the reason for all the shorting on Fubo? You would think that a streaming business would be attracting far more long interest right now.
Re: High Short Interest Stocks
#17I’m surprised this sort of attack has never be carried out before. Is it just because no one ever thought there’d be a crazy army of retail investors that could be so coordinated and so irrational and large enough to matter?
There have been many attempted short squeezes, notoriously the attempt by the founder of Piggly Wiggly to squeeze shorts 100 years ago. He ended up broke, of course, because cornering the market on shares that you pumped to a ridiculous price is never a great idea. More recently there was a cartel that tried to squeeze Volkswagen shorts in 2008.
Re: High Short Interest Stocks
#18If a position is shorted under 100%, does that give the shorts enough wiggle room to close their position?
Not enough to matter. At sufficient price there will be a seller. The company can create stock and sell it if the current holders don't.
Companies cannot issue more shares than they are authorized to issue. They have to do Formal Corporate Things to issue new shares.
Re: High Short Interest Stocks
#19The case of GME is more complicated than only being highly shorted. A short squeeze doesn't emerge solely from being highly shorted. Please be very careful with any single-stock gamble.
Re: High Short Interest Stocks
#20I’m surprised this sort of attack has never be carried out before. Is it just because no one ever thought there’d be a crazy army of retail investors that could be so coordinated and so irrational and large enough to matter?
'Rational' investors try to make money off each other. That operating in pursuit of a class interest is considered irrational suggests there might be some shortcomings in mainstream economic theory.