The Stock Market thread

[Edward64]

[Edward64]

Okay, going to assume today was profit taking.

[BishopMVP]

Originally Posted by Fidatelo

But in the evening I started reading about some of the factors Bishop lists above and decided this thing likely still has legs, so I bought back in first thing Friday morning, unfortunately right at the peak (1 share @ $135).

It's going to be interesting to watch over the next 2-3 weeks and see if the DD on these options calls is accurate and if the hedgefunds use even more devious tricks to wriggle off the hook. At this point I've taken enough profit to cover all but $10 of that one share, so I can ride this thing right to the bottom for the price of a movie ticket, which is well worth the entertainment value

Yeah I was hopeful my few $53 GME shares would go higher, thought I saw some real reasons it could jump 2-10x, but was still exceedingly skeptical until Wednesday at 3pm when it took off due to a coordinated option chain. Friday's fight over the eventual strike price cemented it to me - idk exactly what's going on, but very big players are not only on the "long" side, they've actually been buying in & committing serious $$$ to EoD fights over strike prices. Even Monday there was a war to stay over $120 at close, and what did that do? Let anyone who had a contract at $120 exercise it early & demand the shares within 2 days.

Fwiw I don't think it's hedgefunds trying to wriggle off the hook - some maybe, but I genuinely do think Melvin closed out their short positions at a pretty large loss during the January run up, but also passed any remaining risk on to their market maker... Citadel. (Susquehanna pops up too.)

Originally Posted by sabotai

Well I do have a very long track record of not learning my lesson.

At least it looks like I can maybe jump back in at a little over $100 Monday morning. But this time I'll only buy a few shares.

Yeah, I don't recommend YOLO'ing, but even the amount of reading I've been doing is worth is if I lose my small initial stake. (And I don't think I will - squeeze or not it genuinely is a company that looks both well positioned & likely to turnaround with a really good CEO known for amazing customer service taking over. Little things like GME partnering with Doordash for same day delivery of video games? That's a great idea someone should have been doing already.)

Originally Posted by sterlingice

You see HeyItsPixeL's post this morning?

Endgame DD: How last weeks actions all come together to one specific Date. All the data analyzed. : GME

Again, not educated enough to know what of this is Wall Street fan fiction, what can derail things, or what is just pure false. But it's interesting, to say the least.

I did see that one. That person nailed Wednesday's run-up before it happened, but also predicted a similar squeeze twice since then, and so much of a gamma squeeze requires catching them off guard I don't think the same exact tactics will work if it's this obvious in advance, and a short squeeze requires naked short sellers to admit defeat or be margin called, so I don't think you'll have a fast run up or infinite squeeze from that.

That said, there was some interesting call option activity today for 3/5 - https://www.marketbeat.com/stocks/NYSE/GME/options/ - I basically ignore 800c volume, but it seems worth noting that 20% of the open contracts on 500c's were pulled today, but contracts for 320/330c's both basically doubled today, & 310/315c's had a very large % jump upwards, and nothing else OTM had a noticeable divergence. Might be nothing, but a large amount of $$$ being pushed into a group of OTM call's at a non$50x strike price raises an eyebrow.

A big thing I'm trying to dig into (& getting very little actual info) is how decentralized "market makers" at a place like the Chicago CBoE are, how much a firm like Citadel is on the hook if they default on contracts they wrote, and how much they are literally required by law to keep writing contracts even if they already have massive downside risk - I spend enough time outside the echo chamber to know a lot of people think GME will collapse soon, but even if they thought it wouldn't I'm not sure they have the option to stop writing Call/Put contracts. GME probably already is a Black Swan situation for them, but it sure seems like any situation involving a small float & a cheap underpriced stock is ripe for someone loading up on OTM calls at a cheap cost basis, then forcing a short squeeze if they can pump the stock and start calling them in - at least if there is no cap on the total number of contracts or requirement to actually maintain a delta neutral position on sold contracts.

[Fidatelo]

WSB jumped all over RKT yesterday, to the point that it's now getting it's own dedicated "megathread" each day. I rode the rocket (pun intended?) from 28->36.5 on a couple shares (I play small). It closed at 41.60. I think I'm done playing in that one, though.


Next up I think might be FUBO. Need to do some reading this morning on that one.


One thing that sucks is that I'm Canadian so I take currency conversion hits on all these trades for US companies. I basically have to make 3-4% just to break even.

[BishopMVP]

Originally Posted by Fidatelo

WSB jumped all over RKT yesterday, to the point that it's now getting it's own dedicated "megathread" each day. I rode the rocket (pun intended?) from 28->36.5 on a couple shares (I play small). It closed at 41.60. I think I'm done playing in that one, though.

Next up I think might be FUBO. Need to do some reading this morning on that one.

One thing that sucks is that I'm Canadian so I take currency conversion hits on all these trades for US companies. I basically have to make 3-4% just to break even.

Be careful with any stock but especially anything pushed right now - a lot of people think RKT was a pump & dump by big players (like weed stocks were, like Silver was), and claim WSB mods are infiltrated (I'm not sold - zjz & UisO seem responsive enough I certainly won't call them shills). Whether it is or it isn't there's definitely $$$ to be made on these social sentiment plays, just need to make sure you get out at the right time.

And for me I'm comfortable staying in GME with the huge upside because the short term floor is higher than I bought it at, it seems like it might go above it's current price long term with Cohen in charge (yes, $125 is expensive for a stock price, but they have fewer outstanding shares than most companies of their size/age since they bought back so many when short sellers were artificially depressing the stock price), and mostly because I saw how quickly & unexpectedly that ramp up last Wednesday happened, and I'll be able to handle missing out on peak gains if I don't sell near the peak but actually missing the rocket take off because I was busy fucking around with some other stock would give me too much FOMO

[Edward64]

Frakking inflation fears.

Mon was great but has sucked quite a bit since then.

[BishopMVP]

Originally Posted by Edward64

Frakking inflation fears.

Mon was great but has sucked quite a bit since then.

Just pull your money while this blows over and park it somewhere safe like GME.

(Btw, it already broke the $140 Buy Wall & it's channeling between $140-$150 without a significant catalyst? LFG)

[Edward64]

Yesterday was good but still scared to look at my portfolio. The bubble seems to have popped on SPCE with the chairman selling all/large portion of his shares. Still made a profit overall and think I'll hang on to it because there will be another run-up when SPCE nears its next test launch.

Cathy's ARKK is another story. Don't think it'll get back to its high flying days anytime soon since TSLA is sucking a lot right now.

[Edward64]

(It's only Sat so take it with a grain of salt. I've found futures can swing quite a bit from Sat to Sun 7-8pm).

Stock market futures are up strong today. S&P +1.99% and Nasdaq +1.59%. Assume this is because Senate passing their version of the stimulus. It's been sucking for the past 4-5 weeks now and Nasdaq is in a Correction (no thanks to TSLA).

Have to think positive that $1.9T will fuel the stock market some.

[Edward64]

Yup, Sat futures evaporated pretty quickly. But it's still generally up or status quo, better than some of the really ugly negative futures past several weeks.

[sterlingice]

Once again, GME going brr... up over 30% today. Briefly was back over $200

SI

[sabotai]

So by the end of last week, I ended up with 15 shares, bought for an average of ~$125, because I'm an idiot and I don't learn my lesson. But it worked out this time. I sold 5 shares when it got to $200, making up for my previous mistake +$75.

Now I'm in it with these 10 shares. Kinda back where I started but for ~$125 each rather than $150.

[sabotai]

dola,

So I just had a good yell at myself about being greedy and to stop being stupid. I just dumped 7 more shares at $185. Now I'm roughly even (with a little bit extra) with 3 shares of pure profit in the bank.

[BishopMVP]

Originally Posted by sabotai

dola,

So I just had a good yell at myself about being greedy and to stop being stupid. I just dumped 7 more shares at $185. Now I'm roughly even (with a little bit extra) with 3 shares of pure profit in the bank.

Man you got the paper hands bad ... do hat you want, if it gives you peace of mind to be at a net zero position & pure "profit" on what you're holding, that's awesome, but whether a squeeze happens or not I trust the near term DD.

- The short interest numbers may lie, but option chains are verifiable, and whether the option writers have hedged or still have to procure shares, it's 6 million already in the money from the next two weeks combined, and a million more if it gets above even $200. That's a lot of buying pressure on a stock with as small a float as GME has. Even a little further out April 16 also has a ton that were bought OTM that are now ITM. (EDIT - LoL someone just dropped $52 million on 19k $200 calls for this Friday https://twitter.com/TripleBarrelCap/...796291/photo/1 )

- They're still shorting the shit out of it (like 60% each day are shorts!) and they can barely even suppress it, let alone gain enough traction for a red day, despite fairly low volume last week. Even the joke that is mainstream financial media is finding it hard to ignore it or go LoL reddit bro's right? and is letting some neutral pieces out there now, which will only increase the buying pressure as FOMO jumpers come back in. I'm not counting on a squeeze and I'm sure it's not 100% of the reason, but the fact the DTCC is rushing through rule changes to require more liquidity and collateral from option writers and market makers I'm sure isn't entirely a coincidence.

- Most importantly, why did it jump today so much? Because of a bland press release that basically told us nothing we don't already know. I'm not sure if Ryan Cohen will officially become CEO and be announced after the next board meeting, but they'll have positive momentum with him and probably very very good Q4 earnings they'll announce 3/25. (New PS/XBox releases always juice their earnings.) Once you get people to start accepting them as an e-commerce retailer instead of a brick & mortar one it once again will lead to increased buying pressure.

tl;dr I came for the squeeze, but I stayed for the DD. If a gamma type squeeze does occur in the interim and it gets to $400-$500, or it starts to behave like a normal stock in the $200 range I'll consider selling 1/4 to 1/2 my shares to get to a net zero cost basis or lock in a few thousand in gains, but right now the short term upside potential is huge & I don't think there's much downside risk in the next few weeks with all the known catalysts lined up so I'm not sweating any drops.

[sterlingice]

I have no sense what it's ceiling and floor are right now in the least.

Someone pointed out today that the last couple of weeks looked like an even more amplified version of the lead up to January. In which case, it would top out at something like $800+, but I think patterns and fundamentals and everything are out the window here. We really are watching a unique event unfold.

SI

[BishopMVP]

Originally Posted by sterlingice

I have no sense what it's ceiling and floor are right now in the least.

Someone pointed out today that the last couple of weeks looked like an even more amplified version of the lead up to January. In which case, it would top out at something like $800+, but I think patterns and fundamentals and everything are out the window here. We really are watching a unique event unfold.

Not sure anyone does, but I'm fairly confident in the floor being above $100 through the April 16 date (unless the government steps in to reset things). OTM option contracts, a small float, and a stock price that rises drastically create a positive feedback loop. This Forbes article does a nice job explaining that part of it, though I disagree with the author's contention that Gamestop is a mediocre, money-losing business (it *was* a mediocre, money losing business) and he laughably says "It is a premeditated, predatory take-down of a cornered and defenseless counterparty." because hedge funds that were deliberately targeting solvent businesses and trying to drive them into bankruptcy are apparently the victim now, and also a simple look at DFV's posts from before January will show that he was relentlessly mocked on WSB for the GME YOLO play.

For ceiling I'm certainly not buying the 100k+ a share nonsense, but I think thousands a share is still in play as a possibility. Thomas Petterffy from Interactive Brokers said exactly that would have happened in January if they didn't step in and restrict buying. But even though HF's like Melvin won't be caught off guard (and probably passed the bag along to option writers/market makers like Citadel or Susquehanna, who could try to pass it on to the DTCC if it gets bad enough), the true bagholders who are on that side of the transaction didn't close out their positions they just used accounting/reporting tricks and allies in the media to try and spread that narrative. Again look at the OI on the option chain - while ITM Calls drastically outfavor Puts, OTM puts outnumber calls by an order of magnitude - there are currently 275k total Call contracts between 3/19, 4/16, 7/16 & 1/21/22, and there 1.1 million OTM puts on those dates. Now, there is a possible delta play involved & it's a way to bet against the stock without shorting it, but with IV as high as it is it's not the smartest play. So why are there 100k (& rising) OI contracts from $2-$10 & another 60k for $1 for 3/19 when the stock clearly won't be back down that low? Why are there 250k OI contracts for $0.50 on 4/19, 7/16, 1/21/22 when it clearly won't fall that much? Because they can (legally) create synthetic longs with puts...

Nobody knows how many "shares" are out there. Best guess is 210-240m and rising, despite the float being 50m & a rising stock price that threatens to have a gamma squeeze and go parabolic. Reporting dates make an accurate count next to impossible, but everywhere you look lists Institutional Ownership alone as like 170% of float, retail owns at least 10-20m of the alleged 50m total by now, and we know option writers have to deliver 10m+ over the next month. But for whatever reason it appears the Chicago side got away with blatant market manipulation & escaped the noose in late January, then refused to get out when the price was down to $40 (probably because they thought they'd broken our side & could get it back down under $20 still) at what would have been a heavy but not crippling loss. They won't admit defeat, and I'm not sure who could even margin call a market maker (though again, that DTCC rule change certainly is conspicuously timed), but the math is kind of inescapable - there are 4-5x as many shares "owned" as there allegedly should be, and you simply can't close out short positions when the stock price is going up & shorts make up 60% of the volume every. single. day.

[SackAttack]

Originally Posted by BishopMVP

This Forbes article[/url] does a nice job explaining that part of it, though I disagree with the author's contention that Gamestop is a mediocre, money-losing business (it *was* a mediocre, money losing business)

Without going after the rest of your post, because a lot of that is frankly over my head, nothing about the last two months has changed the nature of GameStop's business.

The Chewy dude may yet drag them into the 21st century and reinvent GameStop as a corporation which is NOT a mediocre, money-losing business, but as things currently stand?

Their revenue stream is heavily dependent on the trade in of physical media, which is something that's going to continue to shrink as digital takes over in the console space.

Lookit PC gaming. You just don't see physical media anymore. Many prebuilt rigs don't even ship with an optical drive.

Consoles ain't there yet, but that's where they're trending, and Microsoft and Sony both would cut those ties today if they could.

So that's where GameStop is sitting right now. They get a revenue boost from new hardware, but that's something that really only happens every 5-7 years, and that ALSO implies that the hardware is available for people to buy.

Physical software is a thing, for now, but it's taking up progressively less shelf space, and less new physical software being sold translates into less physical software being traded in where they can make margin on second, third, and fourth sales.

And you don't even have to look at the software to see how GameStop has tried to combat that in the last several years. Walk into any GameStop - the shelf space devoted to games has shrunk, while the shelf space devoted to collectibles of various sorts has grown. Hell, games which are ostensibly on sale are frequently just not available to purchase. But if you want to buy Funko Pops, board games, or Pokémon cards, have at thee.

They've been dinged by the pandemic, and while that doesn't have to be their death knell, the pandemic HAS driven other retailers from malls around the country, and empty space in malls is less foot traffic to walk past a GameStop.

Nothing that's happened since December changes any of that. What their future looks like may have changed, but they haven't really talked about what that future looks like in anything but the most nebulous terms.

So, yes, they're still a mediocre, money-losing business. But they're a mediocre, money-losing business with the prospect of a potentially visionary CEO shepherding them to whatever they need to become, and a foundering stock price that has been sent "to the moon" for reasons unrelated to the fundamentals of their business.

It is, if they grab onto it, a lifeline nobody could have seen coming. They can issue additional stock, use that money to pay down debt or fund the coming transformation, and be in a much stronger position in 3-5 years than they are now.

They're not swirling the toilet the way Fry's apparently was, but that's what "mediocre" means. They're "blah," not Dead Corp Corp'ing.

But they have an opportunity most companies in their position never get. If you look at Toys R Us, what happened to them was a venture capitalist firm came along, took them private, saddled them with additional debt while extracting what value it could from the company, and then spun them off again and said "good luck."

And that's the sort of fate which might have awaited GameStop in their current state. Hell, might still do, if they don't grab this opportunity with both hands.

And the forces driving their stock prices are completely separate from that reality. The stock may have hundreds, or thousands, of dollars in growth still in it based on the forces fighting over it. That's legit. I won't argue that because I don't, frankly, understand those forces. But the forces driving the stock up aren't using the underlying fundamentals as the basis. The institutional investors they keep steamrolling? Yeah, those folks are going "no way the stock should be this high just on fundamentals; the retail plebes have to run out of money EVENTUALLY" and just doubling and tripling down.

But the investors who have lined up on #TeamGameStop wouldn't be bidding the stock up to $140, $180, $200, $300 ($800? $1000?) if they were being driven by GameStop's business fundamentals.

[BishopMVP]

My contention is not that it's worth it's stock price (or where it's going - hey look, up to $236 already in pre-market), but that yes the underlying company and Cohen alone are worth a 3 figure price, so the downside isn't as egregious as it appeared when Wall Street was yelling it was a $20 stock at best. Chewy has a $36b market cap - with its limited shares Gamestop would need to be over $500/share to match that, you think he can't do with computers & gaming what he did with pet food?

Concrete things they've already committed to

- closing most physical locations and transferring to a delivery based model. They've partnered with Doordash for same day delivery, and they were spending wayyyyy too much $$$ on physical retail space. Luckily most of that was 1-2 year leases so they weren't locked in, but there are like 30% more Gamestop locations than Chipotle's or Pizza Hut's in the US. (I wish I could find the graphic, too lazy to look up exact #'s)

- They've started focusing more on the hardware side of things. Nvidia graphics cards etc, the type of stuff that can't be digital.

- Why would someone order from Gamestop over say, Amazon? Brand loyalty, which is exactly why GME won't(/shouldn't) issue stock like AMC did. (Plus they're also cash rich and - again unlike AMC - they have no debt.) They're not only getting millions in free marketing, they're also being loyal to exactly the type of customer base who can make them successful - Reddit/internet savvy people who by the way just came into a fuckton more money than they've had before.

- You mention Microsoft would like to cut ties, but yet in October they entered into an agreement with Gamestop that gives GME a share of all the future digital sales from consoles sold through a Gamestop. There's a place in the ecosystem as an e-commerce distribution hub for companies like Microsoft and Sony that don't have or want retail space. E-commerce means they're trying to carve a niche out of Amazon's space with the loyal customer base and excellent customer service Chewy was known for, not go up against Steam or Epic.

[Edward64]

Must be nice to have lost $27B in stock wealth (Elon) and not have to worry too much about it.

In other news, Nasdaq futures are up +2.42% and S&P +1.13%. Peeked at my taxable account (fun money) last night which was heavy on ARKK and had to go get a drink.

Unless TSLA makes a strong comeback, don't think Cathie will do near as well as 2020. Apparently she bought a lot of Palantir also. Does she really have strong convictions in their fundamentals or is she more like a momentum investor/gambler? Happy to be wrong but now thinking it's the latter.

[sterlingice]

I've been reading way too much of this yesterday. I had a bad dream that I bought stock options and had no idea what I was doing and lost thousands of dollars. Fortunately, Fidelity does not allow me to do this.

That said, I was reading about options last night because if I could make a bet on GME hitting $200 sometime before the end of the week, it would have been easy money, I think.

SI

[BishopMVP]

Originally Posted by sterlingice

I've been reading way too much of this yesterday. I had a bad dream that I bought stock options and had no idea what I was doing and lost thousands of dollars. Fortunately, Fidelity does not allow me to do this.

That said, I was reading about options last night because if I could make a bet on GME hitting $200 sometime before the end of the week, it would have been easy money, I think.

A) Options are a very, very dangerous thing - especially with high IV stocks like GME. Stock could go up and you'd still lose money due to theta decay.

B) I have also been researching this, and we'll see if they grant it but I did apply for L2 options trading through Fidelity! (Btw idk if you know but if you're on Fidelity you can get access to pre/AH trading as simple and quickly as filling out a waiver under settings. Definitely worth it imo, especially with a stock like this that has occasionally shown massive movement outside of 930-4.)

[sterlingice]

Yeah, the after hours thing was easy - I applied for that when I re-opened my account.

Not even going to bother applying for options. Like I get there's huge potential for crazy growth. But there's also huge potential for crazy loss - at least with put options. With call options, you're just out the call fee, right? Instead, just owning the stock means, well, I'm up or down however much I actually own.

Was kindof hoping to buy the dip today. I have seen no real dip yet.

SI

[lungs]

Smart move: getting rid of most of my penny stocks before they went down.

Bad move: buying a bunch of ARK stuff with the proceeds.

Pennies I held: NXTD - I’m only up 300% from a high of over 600% but with Bitcoin keeping momentum I’m more than happy to let it ride.

ATOS ZOM and PTE I’m also staying in for no particular reason.

Would like to pour more money in with stimulus/tax refund/work bonus but I’ve got some car repairs and the trackpad on my MacBook is going to hell so I think I’m going to put that $$$$ into some good old fashioned consumer spending (and final debt retirement from my year of not making any money growing dope).

[BishopMVP]

Originally Posted by sterlingice

Not even going to bother applying for options. Like I get there's huge potential for crazy growth. But there's also huge potential for crazy loss - at least with put options. With call options, you're just out the call fee, right? Instead, just owning the stock means, well, I'm up or down however much I actually own.

There are ways to safely do them with covered calls or puts or spreads and the like. (Which can lock in profit, but cap the max profit if the stock moves a lot, etc) But yeah basically most novices/WSB people use it for moon shots like buying 800c's - you're smart enough you could probably learn the theta/delta type math, but that's borderline a full time job & GME is not the place to learn that hahaha.

Something like SPY Puts do seem like a good hedge if you think we'll be bearish for a decent amount of time, because I certainly don't want to get into the shorting individual stock game.

Was kind of hoping to buy the dip today. I have seen no real dip yet.

I don't think you're getting a dip today (unless it takes off, then pulls back again). They're still massively shorting it and they can barely gain any traction for even small dips during low volume periods.

Some new DD on possible short interest - True Short interest could be anywhere from 250% to 967% of the float. Yes NINE HUNDRED % : GME - I'm not going to vouch for the specific numbers, but the general theory makes perfect sense to me - you simply can't have a net reduction in the amount of shorts when they make up 60% of trades every day & the stock price is still going up. Someday I want to read the books/articles about what was happening behind the doors at the big places (including the ones on "our" side!) because this seems like a slow motion train wreck happening in front of our eyes for anyone paying attention, but the only people talking about it are either blaming us for causing it, or saying we need to be protected from making bad financial decisions when we're being handed some of the easiest stock market $$$ ever.

[Edward64]

ARKK up +10.6% and TSLA up +18.61%. Still a ways before I break even with ARKK but ... go baby, go!

[Mota]

Originally Posted by BishopMVP

My contention is not that it's worth it's stock price (or where it's going - hey look, up to $236 already in pre-market), but that yes the underlying company and Cohen alone are worth a 3 figure price, so the downside isn't as egregious as it appeared when Wall Street was yelling it was a $20 stock at best. Chewy has a $36b market cap - with its limited shares Gamestop would need to be over $500/share to match that, you think he can't do with computers & gaming what he did with pet food?

Concrete things they've already committed to

- closing most physical locations and transferring to a delivery based model. They've partnered with Doordash for same day delivery, and they were spending wayyyyy too much $$$ on physical retail space. Luckily most of that was 1-2 year leases so they weren't locked in, but there are like 30% more Gamestop locations than Chipotle's or Pizza Hut's in the US. (I wish I could find the graphic, too lazy to look up exact #'s)

- They've started focusing more on the hardware side of things. Nvidia graphics cards etc, the type of stuff that can't be digital.

- Why would someone order from Gamestop over say, Amazon? Brand loyalty, which is exactly why GME won't(/shouldn't) issue stock like AMC did. (Plus they're also cash rich and - again unlike AMC - they have no debt.) They're not only getting millions in free marketing, they're also being loyal to exactly the type of customer base who can make them successful - Reddit/internet savvy people who by the way just came into a fuckton more money than they've had before.

- You mention Microsoft would like to cut ties, but yet in October they entered into an agreement with Gamestop that gives GME a share of all the future digital sales from consoles sold through a Gamestop. There's a place in the ecosystem as an e-commerce distribution hub for companies like Microsoft and Sony that don't have or want retail space. E-commerce means they're trying to carve a niche out of Amazon's space with the loyal customer base and excellent customer service Chewy was known for, not go up against Steam or Epic.

Microsoft understands that while they would prefer to sell all their games digitally at a higher margin, SOMEONE needs to sell their consoles in stores. At the moment you can't buy a digital controller, you still need accessories and hardware. I know what margins they make off hardware (little to none), so I'm sure that some major chains have already threatened to stop selling consoles if the digital trend continues. If the customer comes in, buys a console on credit card, you end up losing money. If they don't buy any games with it, and there isn't this stream of profit that will come from making that one time loss, what's the point? Obviously Microsoft is trying to make it worthwhile for at least that one retailer.

[SackAttack]

Originally Posted by BishopMVP

- You mention Microsoft would like to cut ties, but yet in October they entered into an agreement with Gamestop that gives GME a share of all the future digital sales from consoles sold through a Gamestop.

And everything I've seen on that has suggested that it's more PR than tangible. There's no transparency on what the cut is, on whether it applies to used console sales, whether it's content only, or also captures a slice of XBL/GP revenue, etc.

It's a big deal if significant, but mainly in a "GME has a vested interest in pushing Xbox consoles over PlayStation" way.

And that's still something that ties GME's business to MSFT - if Sony boatraces MS this generation as they b did with PS4, GME is getting a cut of diminished digital revenue. It's supplemental, not significant (1% of a billion dollars is $10 million, for example).

It's not a bad thing, but without additional details and probably without concomitant agreements with at least Sony, it's a good first step, but not radically transformational.

Yet.

The business is repositioning, yes, absolutely, but it's still largely what it was. The payoff is still years down the road.

[Fidatelo]

I have no idea if GME can pivot successfully or not. I think the opportunity is potentially there, but I also have no idea how to place a value on that $/share.


That said, the DD on the short squeeze is legit and I've gone from my 1 share up to 3@150/avg. Not gonna get rich but this thing is for sure hitting $400+ and really who knows where it ends. I'll probably sell 1 or 2 of my shares in that 400-500 range and then just see what happens with the last one, even if it means riding it to the moon and then accidentally back home.

[Lathum]

Roblox today.

Just put in a limit order for $50 a share. Supposed to open at $45.

[Edward64]

Originally Posted by Lathum

Roblox today.

Just put in a limit order for $50 a share. Supposed to open at $45.

I just did the same. You better be right.

[Lathum]

Originally Posted by Edward64

I just did the same. You better be right.

What I read was it is a long term hold but it is expected to go pretty high before leveling out.

[sterlingice]

Jeez - GME just rolled through the 300 wall like it was nothing

SI

[sabotai]

Up to $325+ now.

I have such remarkably bad timing, lol.

[sterlingice]

If you stack it up next to the January graph, this feels just like Jan 26

SI

[sabotai]

What the fuck just happened!?

I go to eat lunch, it's at $344. Sit back down at my PC ~15 minutes later and it's $216!

Edit: AMC was over $12 a share it dropped to $10 at the same exact time.

[sabotai]

dola,

Looking back at January, a similar thing happened on Jan 28th. Shot up to $468.49 at 9:55AM, dropping to $330.66 at 10:40AM and then dropping down to $126.01 at 11:15AM. I knew something like that happened in January, but I didn't know it happened that fast.

[sovereignstar v2]

I've started doing some research on investing in marijuana. Seems like something that would be a smart long play. Looking at MSOS in particular. I think that is where my upcoming ~3k stimulus money is going to go.

[sterlingice]

Originally Posted by sabotai

What the fuck just happened!?

I go to eat lunch, it's at $344. Sit back down at my PC ~15 minutes later and it's $216!

Edit: AMC was over $12 a share it dropped to $10 at the same exact time.

Last best time to get it on sale?

SI

[sabotai]

Originally Posted by sterlingice

Last best time to get it on sale?

SI

I was about to. It dipped below $200 and I was getting ready to buy more shares, but then before I could even log into my account, it shot back up to ~$260.

[sabotai]

I also had a buy order for Roblox at $50 but it didn't execute. Oh well.

[Lathum]

Originally Posted by sabotai

I also had a buy order for Roblox at $50 but it didn't execute. Oh well.

I happened to be on right when it went live. It was at $66. I was able to cancel my $50 order and snag some for $67. It is currently at $73.

[sabotai]

Originally Posted by sovereignstar v2

I've started doing some research on investing in marijuana. Seems like something that would be a smart long play. Looking at MSOS in particular. I think that is where my upcoming ~3k stimulus money is going to go.

I had the same idea, but the more I read about stocks in general, the more my eyes roll into the back of my head. I really don't like this style of investing. Even if I'm holding a stock long term, I can't help myself from constantly checking the stock prices.

FOMO is keeping me in GME right now, but once this roller coaster is over, I'm getting out of investing in individual stocks completely and going back to 100% passive investing. I'll keep an eye out for a weed ETF to jump in (edit: which, I now see after posting is what MSOS is).

[sovereignstar v2]

Originally Posted by sabotai

I had the same idea, but the more I read about stocks in general, the more my eyes roll into the back of my head. I really don't like this style of investing. Even if I'm holding a stock long term, I can't help myself from constantly checking the stock prices.

FOMO is keeping me in GME right now, but once this roller coaster is over, I'm getting out of investing in individual stocks completely and going back to 100% passive investing. I'll keep an eye out for a weed ETF to jump in (edit: which, I now see after posting is what MSOS is).

Yes, it's an ETF. I will never get myself into individual stocks lol. My vanguard portfolio is 100% index funds, so this would easily be the riskiest thing I've done yet.

[BishopMVP]

Originally Posted by sabotai

What the fuck just happened!?

I go to eat lunch, it's at $344. Sit back down at my PC ~15 minutes later and it's $216!

Edit: AMC was over $12 a share it dropped to $10 at the same exact time.

We'll see if the SEC or NYSE wants to look into it, because the media is clearly a bunch of idiots, shills, or both. There were multiple articles put out talking about the drop within the 5 minute span it was happening, and even one with a timestamp before it started, you tell me how that happens.

I have heard a rumor it was a whale on our side that wants it to moon that bought a ton of $330 Puts, tanked the price, sold the Puts & bought a ton of Calls between $300-$400 for this Friday when it was low, but I find it hard to believe they not only did that in conjunction with the media coordination & also tanked AMC, KOSS, BB, etc at the same damn time.

Either way, it's blatant market manipulation and easily traceable, so we'll see if someone does something about it now or if we only get to read the books down the line. Shoot, after all that though it's still up 10% for the day & it looks like they're making a run up with the RSI push that started at 3:30.

[sterlingice]

Amazing to watch that fall down almost $150 over a very quick time and then rubber band right back up to $250 as soon as the attack was over.

The books written about this, if they have insider information, will be fascinating

SI

[BishopMVP]

Originally Posted by sterlingice

Amazing to watch that fall down almost $150 over a very quick time and then rubber band right back up to $250 as soon as the attack was over.

The books written about this, if they have insider information, will be fascinating

SI

Halts last for 5 minutes. Timeline:

Stopped: 12:22:06 Resumed: 12:27:12
Stopped: 12:29:53 Resumed: 12:34:58
Stopped: 12:35:36 Resumed: 12:40:43
Stopped: 12:41:05 Resumed: 12:46:10
Stopped: 12:46:49 Resumed: 12:51:54
Stopped: 12:53:54

That means there were 3 stops in the middle there were trading lasted for all of 99 seconds between them! And I can't figure out how to get the L2 data split out after the fact, but this wasn't just dumping shares at market sells or a short ladder attack, they were clearly executing thousands of trades $20-$150 below what the demand for the stock was at at a high enough frequency it tripped everything... that's $15-$150 million they cost themselves on those trades alone.

I do wonder how many people had stop-loss triggers tripped & sold when they otherwise wouldn't have - it was obvious at the time this wasn't normal market action, but again, we'll see if anybody cares to dig into it besides the Reddit horde (which frankly can start to resemble a Q cult at times, but I can't blame them because shit like this is happening & no one in the media cares, barely anyone in the government does, and of those like 1 in 20 people at a hearing even understands 1/10 of what's happening.)

[JonInMiddleGA]

Originally Posted by BishopMVP

There were multiple articles put out talking about the drop within the 5 minute span it was happening, and even one with a timestamp before it started, you tell me how that happens.

I'll just mention that one of the long-standing disclaimers on a lot of media stock reporting (like, tickers and stuff) is that the information is NOT in real-time (15 minute delay was the standard I believe, may have shrunk to 10 minutes at some point)

If you're looking at actual live feeds for when the drop occurred then just ignore me but if you're looking at 3rd party type timings for the drop then that might account for timestamp wonkery.

[Edward64]

Originally Posted by sabotai

I also had a buy order for Roblox at $50 but it didn't execute. Oh well.

Same.

[BishopMVP]

Originally Posted by JonInMiddleGA

I'll just mention that one of the long-standing disclaimers on a lot of media stock reporting (like, tickers and stuff) is that the information is NOT in real-time (15 minute delay was the standard I believe, may have shrunk to 10 minutes at some point)

If you're looking at actual live feeds for when the drop occurred then just ignore me but if you're looking at 3rd party type timings for the drop then that might account for timestamp wonkery.

Nah, I'm pulling Level 2 data off Fidelity's trading program, it's real time (or damn close at least). Many of those in the media are just mouthpieces for friends in these companies. Not even maliciously, they're just useful idiots.

One media guy I have liked is this professor who freelances for Forbes. This article was written & published this morning just before the opposite direction play, but it does a better job than me explaining how the options game has changed things, with GME the first but definitely not the last time it'll happen GameStop –Â*The Second Surge:Â*Anatomy Of A “Gamma Swarmâ€�

It's what I've been saying from the start, albeit in clearer terms - people can buy relatively cheap option OTM contracts for more shares than are available, the net effect of all these is that option writers need to buy to hedge their bets, and if there's enough buy pressure there it raises the stock price, puts more contracts ITM, and creates a positive feedback loop. The easiest way to regulate this would be to cap the number of OTM contracts that can be sold at a % of available float, or at least change the way they are priced so that current OI is taken into account instead of just IV & current stock price, but nobody's been talking about that yet so the abusable loophole is still there & legal.

[Edward64]

Missed out on RBLX on Lathum's bad advice re: buy limit at $50. But ARKK bought 500k shares for about $36M. She also sold FB which I think is a good call. I personally don't see FB innovating like the other big tech companies. I would feel better if she sold a lot TSLA and got it down to about 5% (vs 10%) of portfolio.

I've got ARKK in several IRAs spread out, I'm at -5% and -8% down but there is one account where I'm down -18% ... must have bought that when ARKK was at the high.

The ARK Next Generation Internet ETF ARKW, -0.36% bought over 500,000 shares of Roblox RBLX, +54.44%, the video-games developer that surged 54% in its trading debut on Wednesday. The position, worth $36 million, amounts to 0.47% of the Cathie Wood-managed fund, according to the trading position data posted on ARK's website. The same fund sold nearly $18 million worth of Facebook FB, -0.32%.

I'm down about -11% with Bumble but good news after the bell, so it should rebound some. The concept of dating app tailored for women just has to do well IMO.

Bumble Inc. stock rose nearly 5% in the extended session Wednesday after the dating-app operator’s first quarterly report as a public company showed narrower losses and bigger revenues than analysts expected.

Bumble BMBL, -0.62% said it lost $26.1 million, or 1 cent a share, contrasting with earnings of $17.2 million in the year-ago quarter.

Revenue rose 31% to $165.6 million, from $126.3 million a year ago, the company said. Bumble said it ended the quarter with 2.7 million paying users, a 32% increase from the fourth quarter of 2019.

Analysts polled by FactSet had expected Bumble to report a GAAP loss of 9 cents a share on sales of $163.3 million.

And APPL where I do have a major position is stuck in a funk so far this year.