Hacker News Board Hacker News, browsed like a classic message board
Live data from Hacker News

u/DeepFuckingValue and the GameStop Reddit mania

wsj.com

Post reply on HN
Print view View original

301–310 of 554 posts

Re: u/DeepFuckingValue and the GameStop Reddit mania

#301

Post by runawaybottle »

ggggtez wrote: post #63
tootie wrote: post #25

Earlier quoted context omitted.

It says as much in the article. He literally just thought GME was undervalued on its merits. He had no intention of creating a squeeze or punishing Melvin.

Just because he's still in doesn't mean that it's actually worth $300 on the fundamentals. I could definitely see the argument that $20 was undervalued, but it's plain to see that the short-squeeze is now part of the calculation of value. There is no way that GameStop has an actual fundamental value of $300 per share. That price is clearly inflated, and in a few weeks will decrease, probably to somewhere above $20, b…

The correct way to phrase this question in wsb parlance is ‘How did his wife’s boyfriend feel about all of this?’.

Re: u/DeepFuckingValue and the GameStop Reddit mania

#302

Post by pishpash »

throwaway-571 wrote: post #233
ggggtez wrote: post #63

Earlier quoted context omitted.

Just because he's still in doesn't mean that it's actually worth $300 on the fundamentals. I could definitely see the argument that $20 was undervalued, but it's plain to see that the short-squeeze is now part of the calculation of value. There is no way that GameStop has an actual fundamental value of $300 per share. That price is clearly inflated, and in a few weeks will decrease, probably to somewhere above $20, b…

Apparently retails traders were only 1/3rd of the transactions, and the stock went up on the aftermarket on thursday, so I don't think retail traders are driving this price _anymore_. https://www.bloomberg.com/opinion/articles/2021-01-29/reddit...

Retail traders with directionality can drive the market even with small volume, because non-directional volume will amplify them.

Re: u/DeepFuckingValue and the GameStop Reddit mania

#303

Post by eternalban »

eMGm4D0zgUAVXc7 wrote: post #24
devops000 wrote: post #10

Earlier quoted context omitted.

I hope one day we will see an IPFS link

Why do people constantly have to re-invent the wheel? :( Freenet [0] has been providing censorship-resistant, anonymous, decentralized hosting for 20 years - and is still in active development! You could upload it to Freenet without any server whatsoever and it would stay online for as long as it is popular, even if your machine goes offline. And you'd be anonymous while doing so! [0] https://en.wikipedia.org/wiki/Fr…

This prompted a query as to what Ian is up to these days:

https://github.com/sanity/tahrir

http://tahrirproject.org/

"Tahrir aims to be a distributed, decentralized, scalable, and anonymous "workalike" for services like Twitter, Google Plus, and Facebook. It is at an early stage of development, but is being actively worked on by a number of volunteers."

Re: u/DeepFuckingValue and the GameStop Reddit mania

#304

Post by [deleted] »

raziel2701 wrote: post #22

On wsb u/deepfuckingvalue showed he still holds 50,000 shares and 500 deep ITM call options. He has secured a profit of $13.8 million dollars, and his remaining open position is valued at $45 million. I would caution people to not quickly fall into the "if he's still in, I'm still in" meme. He has secured a $14 million bag, regardless if the stock goes to zero he's already secured a life changing amount of money, he…

[deleted]

Re: u/DeepFuckingValue and the GameStop Reddit mania

#305

Post by renewiltord »

misiti3780 wrote: post #31

I'm honestly confused by the press around this event. I get it, /DFV started a short squeeze and got rich, that is great for him. I don't support naked shorting, it should probably be illegal (if it is not already) and it looks that was part of the reason this happened. Everyone has been suspecting for a while (especially here) that a lot of volatility in stocks like TSLA etc was due to Robinhood. As of 5:33 EST, I'm…

> Enron blew up, basically all of the Investment Banks blew up in 2008, LTCM blew up.

Right, and each of those events is news that you can identify it by saying Enron, or 2008, or LTCM. It isn't just about DFV. It's about all the other little guys who have made hundreds of thousands or millions on this.

Re: u/DeepFuckingValue and the GameStop Reddit mania

#306

Post by smabie »

Trisell wrote: post #251
bluedevil2k wrote: post #185

Earlier quoted context omitted.

The prices on puts go up even when the price skyrockets - it’s crazy!

I saw an IV yesterday that was 1000%. I’m not sure I’ll ever see that again in my lifetime.

IVs in the crypto world can get up to 100-250, but 1000 is insane even for crypto. Truly incredible.

Re: u/DeepFuckingValue and the GameStop Reddit mania

#307

Post by Rapzid »

015a wrote: post #158
amluto wrote: post #110

Earlier quoted context omitted.

I wouldn’t be terribly surprised if some big players have carefully arranged to have large short interest but to be hedged against large upswings. This could be an expensive position to carry, but it could be quite profitable if people thought they were squeezing an unsqueezable short.

Right. My biggest concern with these plays, at this point, is that they're not taking into account the possibility of bankruptcy. There's a ton of "they have to buy it, if we hold all the shares then it'll go to the moon, 1k, 2k, 4k". (1) The sheer variety of financial vehicles available to professional investors is staggering, and while the initial DD was really good, we probably missed something at this point, and…

> if all else fails, and a fund can't buy back the 50,000 shares it owes some brokerage, that fund doesn't have to buy them back. They can just declare bankruptcy.

If that's true wouldn't it incentivize the brokerages to help the funds weather the storm? Everyone can just wait it out till the stock crashes back and instead of sticking it to the man WSB just emptied their pockets into the mans accounts..

Re: u/DeepFuckingValue and the GameStop Reddit mania

#308

Post by milofeynman »

raziel2701 wrote: post #22

On wsb u/deepfuckingvalue showed he still holds 50,000 shares and 500 deep ITM call options. He has secured a profit of $13.8 million dollars, and his remaining open position is valued at $45 million. I would caution people to not quickly fall into the "if he's still in, I'm still in" meme. He has secured a $14 million bag, regardless if the stock goes to zero he's already secured a life changing amount of money, he…

Could you explain who would "loan" these hedge funds shorts at these elevates levels? Or is that not how it works.

Re: u/DeepFuckingValue and the GameStop Reddit mania

#309

Post by jakemauer »

smcl wrote: post #262
PartiallyTyped wrote: post #148

Earlier quoted context omitted.

Unlike Cramer, he provided DD and was transparent on his positions.

I keep seeing “DD” and I’m finally going to ask: what does this stand for.

I believe it means due diligence.

Re: u/DeepFuckingValue and the GameStop Reddit mania

#310

Post by always_left »

sjtindell wrote: post #289
fractionalhare wrote: post #275

Earlier quoted context omitted.

How'd you get into pro poker? I'm good at statistics and would be interested in learning how to play really well.

Not a pro but I recently started learning some poker. Two texts that absolutely opened the game up to me were The Grinders Manual (fundamentals) and The Mathematics of Poker (where your stats/math background will be useful). The way I started was by dedicating 2 hours per day (1 hour studying, one hour playing online micro stakes). Next I will start learning and memorizing output from Solvers, that seems to be key to…

I’m curious. Poker has a lot of strong strategies and what not, but if a new player comes in, how do those strategies prevail? You may be confident with two Aces, but the player could be extremely confident in their king pair and wager as if they have a straight
Post reply on HN