GME

Other discussions not related to the Permanent Portfolio

Moderator: Global Moderator

Post Reply
User avatar
doodle
Executive Member
Executive Member
Posts: 4658
Joined: Fri Feb 11, 2011 2:17 pm

GME

Post by doodle » Tue Jan 26, 2021 7:10 pm

Is anyone paying attention to the price action in GME? You think storming the capitol was a revolutionary act? This is reddit retail traders literally banding together to take down wall street whales.
User avatar
Kriegsspiel
Executive Member
Executive Member
Posts: 4052
Joined: Sun Sep 16, 2012 5:28 pm

Re: GME

Post by Kriegsspiel » Tue Jan 26, 2021 7:32 pm

doodle wrote:
Tue Jan 26, 2021 7:10 pm
This is reddit retail traders literally banding together to take down wall street whales.
Apparently, they were led by user Roaring Kitty.
Cullen wrote:Roaring Kitty FTW. That means “for the win”. That’s how the kids talk these days. Or so I’ve been told.

This is actually one of the more interesting stories in a long time. In case you haven’t been paying attention – a bunch of Redditors banded together to drive Gamestop (GME) stock higher by buying far out of the money call options. Meanwhile, a whole bunch of hedge funds were short the stock. This has recently resulted in a short squeeze and a gamma squeeze. Basically, lots of short covering and hedging by market makers in the options market. It got so bad that one hedge fund needed a bailout. And this was all led by a user named “Roaring Kitty”. Yes, Roaring Kitty took out a $12B hedge fund. I shit you not. . .
link.
I actually don't know shit about this, but Smithers has been on top of it for like 6 internet-years already.
You there, Ephialtes. May you live forever.
User avatar
doodle
Executive Member
Executive Member
Posts: 4658
Joined: Fri Feb 11, 2011 2:17 pm

Re: GME

Post by doodle » Tue Jan 26, 2021 8:16 pm

There are "autist" kids there literally sitting on multi-million dollar portfolios comprised of 100% gamestop shares...who refuse to sell. This is rewriting economics.
Screenshot_20210126-191937.png
Screenshot_20210126-191937.png (191.29 KiB) Viewed 6114 times
https://www.reddit.com/r/wallstreetbet ... nt_stop/
Screenshot_20210126-193819.png
Screenshot_20210126-193819.png (194.82 KiB) Viewed 6107 times
User avatar
Xan
Administrator
Administrator
Posts: 4392
Joined: Tue Mar 13, 2012 1:51 pm

Re: GME

Post by Xan » Tue Jan 26, 2021 8:43 pm

I have no idea what's going on.

Is it the case that some people on Reddit have just decided amongst themselves that they're going to buy and hold lot of GameStop? People on Reddit have enough money to affect the stock this much? I'm confused.

Doodle, can you tell me what part of economics are being rewritten? I'm really very interested in this but am having a great deal of trouble figuring it out.
User avatar
doodle
Executive Member
Executive Member
Posts: 4658
Joined: Fri Feb 11, 2011 2:17 pm

Re: GME

Post by doodle » Tue Jan 26, 2021 9:09 pm

Xan wrote:
Tue Jan 26, 2021 8:43 pm
I have no idea what's going on.

Is it the case that some people on Reddit have just decided amongst themselves that they're going to buy and hold lot of GameStop? People on Reddit have enough money to affect the stock this much? I'm confused.

Doodle, can you tell me what part of economics are being rewritten? I'm really very interested in this but am having a great deal of trouble figuring it out.
I too am trying to figure this out.

As far as economics being rewritten, I'm referring to company fundamentals having any bearing on price and capital allocation....oh, and rational behavior. Gamestop is essentially a moribund company...it's pretty much the blockbuster of video games with a market cap now of over 10 billion dollars. People know it's a dying company but through crowd psychology are literally making millions off of price action. There is a complete disconnect taking place between wallstreet and the real economy that is entirely out in the open. This is pure gambling based on crowd psychology and the standoff by retail investors is literally bankrupting wall street hedge funds.

Browse r/wallstreetbets....
User avatar
doodle
Executive Member
Executive Member
Posts: 4658
Joined: Fri Feb 11, 2011 2:17 pm

Re: GME

Post by doodle » Tue Jan 26, 2021 9:15 pm

25 year old kids sitting on 10 million dollars worth of call options saying they refuse to sell until this bankrupt company share price hits 1000 bucks (currently at 150ish) is not economically rational behavior. This is Bitcoin HODLer mentality taking over stock market....

It perhaps requires at least a reevaluation of common investing metrics I think....
whatchamacallit
Executive Member
Executive Member
Posts: 750
Joined: Mon Oct 01, 2012 7:32 pm

Re: GME

Post by whatchamacallit » Tue Jan 26, 2021 9:32 pm

This is interesting.


How soon could GameStop start issuing new shares and capture some of this capital?
User avatar
doodle
Executive Member
Executive Member
Posts: 4658
Joined: Fri Feb 11, 2011 2:17 pm

Re: GME

Post by doodle » Tue Jan 26, 2021 9:47 pm

Up almost 50% now in aftermarket....to 209! I'm more curious how this unwinds at this point. It's a game of chicken essentially
User avatar
Smith1776
Executive Member
Executive Member
Posts: 3501
Joined: Fri Apr 21, 2017 6:01 pm

Re: GME

Post by Smith1776 » Tue Jan 26, 2021 9:50 pm

GUYS. Fama/French, Browne, Bogle, and the 3, 4, 5 or whatever factor models are the past. Why did I waste so much of my life studying the "science" of investing?? The RETARD FACTORTM MODEL IS NOW.

GME TO THE F#@$ING MOON. 🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀

BUY AND HOLD TILL MELVIN CAPITAL AND SHITRON ARE BANKRUPT.


12312321312.png
12312321312.png (225.67 KiB) Viewed 6075 times

2342342342.png
2342342342.png (104.79 KiB) Viewed 6075 times

IMG_0784.JPG
IMG_0784.JPG (118.96 KiB) Viewed 6075 times

IMG_0799.jpeg
IMG_0799.jpeg (169.52 KiB) Viewed 6075 times


Make those pompous Harvard grad hedge fund dilettantes realize they're not better than us!!!!!!


🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀


IMG_0800.jpeg
IMG_0800.jpeg (433.24 KiB) Viewed 6075 times

Why can't Melvin capital just uninstall the Robinhood app and reinstall it to restore their save game and get their money back?????


LMAO.
I still find the James Rickards portfolio fascinating.
User avatar
Smith1776
Executive Member
Executive Member
Posts: 3501
Joined: Fri Apr 21, 2017 6:01 pm

Re: GME

Post by Smith1776 » Tue Jan 26, 2021 9:51 pm

Guys, get me off this subreddit.

I need help.
I still find the James Rickards portfolio fascinating.
User avatar
doodle
Executive Member
Executive Member
Posts: 4658
Joined: Fri Feb 11, 2011 2:17 pm

Re: GME

Post by doodle » Tue Jan 26, 2021 10:03 pm

Quote: Smith1776

The RETARD FACTOR TM MODEL IS NOW.
Yep, pretty much. It's like occupy wallstreet 2.0. This time though the peasant crowds aren't shouting in the streets, they are literally gang raping these guys at their own game. It's a beautiful sight. Lol
whatchamacallit
Executive Member
Executive Member
Posts: 750
Joined: Mon Oct 01, 2012 7:32 pm

Re: GME

Post by whatchamacallit » Tue Jan 26, 2021 10:13 pm

Man this is fun to think about.

This feels like a storm.

Imagine GME turning this into capital and it just keeps running to the point they buy other companies and become a conglomerate.

I thought TSLA was crazy but I think this one will take off like crypto. It has the whole fight the man movement. Has this happened before?
User avatar
Tyler
Executive Member
Executive Member
Posts: 2066
Joined: Sat Nov 12, 2011 3:23 pm
Contact:

Re: GME

Post by Tyler » Tue Jan 26, 2021 10:13 pm

doodle wrote:
Tue Jan 26, 2021 9:09 pm
I too am trying to figure this out.
Here's a good explanation: https://slate.com/technology/2021/01/ga ... s-gme.html

Basically, social media is now big enough that a bunch of individual investors figured out that they can pool enough money to execute the same type of short squeeze normally only the territory of corporations and hedge funds. It won't last, and the stock will almost certainly crash once the Reddit crowd wrings the lemon dry and starts to sell en masse. In the long run, the truly big deal is how it puts a lot of the big hedge funds on notice that they're not the only sharks in the water.
Last edited by Tyler on Tue Jan 26, 2021 10:20 pm, edited 4 times in total.
User avatar
Smith1776
Executive Member
Executive Member
Posts: 3501
Joined: Fri Apr 21, 2017 6:01 pm

Re: GME

Post by Smith1776 » Tue Jan 26, 2021 10:16 pm

2gl5qza4yrd61.jpg
2gl5qza4yrd61.jpg (48.7 KiB) Viewed 5846 times


LOL

EDIT: FORGOT THE ROCKET SHIPS. 🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀


🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀
🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀
🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀
I still find the James Rickards portfolio fascinating.
User avatar
doodle
Executive Member
Executive Member
Posts: 4658
Joined: Fri Feb 11, 2011 2:17 pm

Re: GME

Post by doodle » Tue Jan 26, 2021 10:19 pm

Screenshot_20210126-211849.png
Screenshot_20210126-211849.png (87.47 KiB) Viewed 5840 times
Ruthless! How much you wanna bet share prices jump on some of those! Lol
Last edited by doodle on Tue Jan 26, 2021 10:20 pm, edited 1 time in total.
User avatar
Smith1776
Executive Member
Executive Member
Posts: 3501
Joined: Fri Apr 21, 2017 6:01 pm

Re: GME

Post by Smith1776 » Tue Jan 26, 2021 10:20 pm

DOODLE.

ROCKET SHIPS.

🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀
I still find the James Rickards portfolio fascinating.
User avatar
doodle
Executive Member
Executive Member
Posts: 4658
Joined: Fri Feb 11, 2011 2:17 pm

Re: GME

Post by doodle » Tue Jan 26, 2021 10:22 pm

Smith1776 wrote:
Tue Jan 26, 2021 10:20 pm
DOODLE.

ROCKET SHIPS.

🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀
Lol

🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀! To the moon!
User avatar
Smith1776
Executive Member
Executive Member
Posts: 3501
Joined: Fri Apr 21, 2017 6:01 pm

Re: GME

Post by Smith1776 » Tue Jan 26, 2021 10:24 pm

doodle wrote:
Tue Jan 26, 2021 10:22 pm
Smith1776 wrote:
Tue Jan 26, 2021 10:20 pm
DOODLE.

ROCKET SHIPS.

🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀
Lol

🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀🚀! To the moon!
YES.
I still find the James Rickards portfolio fascinating.
User avatar
doodle
Executive Member
Executive Member
Posts: 4658
Joined: Fri Feb 11, 2011 2:17 pm

Re: GME

Post by doodle » Tue Jan 26, 2021 10:28 pm

whatchamacallit wrote:
Tue Jan 26, 2021 10:13 pm
Man this is fun to think about.

This feels like a storm.

Imagine GME turning this into capital and it just keeps running to the point they buy other companies and become a conglomerate.

I thought TSLA was crazy but I think this one will take off like crypto. It has the whole fight the man movement. Has this happened before?
This is entirely unique phenomenon as far as I can tell. This could start to get epic. The balls on some of these guys still holding with tens of millions of dollars in paper profits is unbelievable.
User avatar
I Shrugged
Executive Member
Executive Member
Posts: 2062
Joined: Tue Dec 18, 2012 6:35 pm

Re: GME

Post by I Shrugged » Tue Jan 26, 2021 10:33 pm

Wouldn’t NOW be the time to short it?
User avatar
Smith1776
Executive Member
Executive Member
Posts: 3501
Joined: Fri Apr 21, 2017 6:01 pm

Re: GME

Post by Smith1776 » Tue Jan 26, 2021 10:41 pm

Fama and French will have to update the academic literature to a 7-factor model:

- Market Beta Factor
- Size Factor
- Value Factor
- Profitability Factor
- Investment Factor
- Momentum Factor
- Retard FactorTM
I still find the James Rickards portfolio fascinating.
whatchamacallit
Executive Member
Executive Member
Posts: 750
Joined: Mon Oct 01, 2012 7:32 pm

Re: GME

Post by whatchamacallit » Tue Jan 26, 2021 10:53 pm

I Shrugged wrote:
Tue Jan 26, 2021 10:33 pm
Wouldn’t NOW be the time to short it?
I don't know. All these years I thought crypto was crazy and it "went to moon".

If buying GME is truly out there on social media as the way to stick it to the man. I felt like that was what was driving crypto this whole time.

Would it be fair to GameStop if the SEC shuts it down?

Another thing that gives this more potential than crypto I feel like is the point of entry. I personally never felt comfortable buying crypto but putting a little money in a stock is going to be a whole lot easier.
SomeDude
Executive Member
Executive Member
Posts: 1080
Joined: Sun Nov 22, 2020 1:45 am

Re: GME

Post by SomeDude » Wed Jan 27, 2021 2:10 am

I Shrugged wrote:
Tue Jan 26, 2021 10:33 pm
Wouldn’t NOW be the time to short it?
Only if you want your face ripped off.

Until the short interest comes down to just an absurd level this thing will move higher. New shorts are coming in only to get squeezed and fuel the rocketship higher.

At some point this will drop 90% in a week as the late to sell longs try to keep some profit but not until short interest drops at least below 100% of the float.

Between May 2018 and q1 2020 i accumulated over 4,000 shares at an average price of about $10.

I rode this sonofabitch all they way down to $2.80 waiting for this mother of all short squeezes. It was like a race between the longs and shorts to see if the shorts could hang on for bankruptcy or start covering first.

GME did a huge buyback of 40% of the shares. Then some activists acquired and it had some life. The price moved big up to $14 and i sold every share last Nov to get out with a tidy profit and lessons learned.

My investment thesis was always that a massive squeeze would come some day and i would stay in until most of the shorts were cleared. Then i got married and had a baby and decided i didn't want to lose the family's money and i chickened out.

Those shares i sold for 55k in Nov are now worth more than 800k. I'm sick over it.
User avatar
doodle
Executive Member
Executive Member
Posts: 4658
Joined: Fri Feb 11, 2011 2:17 pm

Re: GME

Post by doodle » Wed Jan 27, 2021 5:08 am

Those shares i sold for 55k in Nov are now worth more than 800k. I'm sick over it
Now almost 1.5 mil...as of premarket....up another 100% overnight.

You must have forgotten to apply the retard factor into your trading algorithm

But you know who is sicker? Melvin
User avatar
Kriegsspiel
Executive Member
Executive Member
Posts: 4052
Joined: Sun Sep 16, 2012 5:28 pm

Re: GME

Post by Kriegsspiel » Wed Jan 27, 2021 5:21 am

What I'm taking from this whole situation is that there's a more interesting variant of autism than the ones who can list every train engine by memory.
You there, Ephialtes. May you live forever.
Post Reply