Reddit Users. Breathtaking...

X said:

That's okay, it matters not at all if you believe me or not - doesn't seem like you frequent the seedier parts of the internet where the trolls roam (not a bad thing). They think this is hilarious and many are happy to hold into oblivion. I won't try to convince you, and yes there are quite a few people who will get caught in the crossfire because they didn't research *why* the stock is exploding and for some reason think this will end with everyone printing money--it looks like easy gains. Many of them will get burned before all is said and done, but anyone who invests more than they can afford to lose shouldn't invest in the first place--which is the message being sent to Melvin Capital, Citadel and the others up the chain right now. No matter how this pans out, Melvin Capital and Citadel are going to walk away wounded - or the government is going to bail them out and sew even more discontent and distrust, and Robinhood will likely wind up bankrupt as the name is horrendously tarnished. Hopefully some will end up in jail for interfering with the free market, though not likely. All of this was worth the price of admission.

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I get what you're saying but I think there may be more to it than just financial trolling.

Larry Igna said:

Who is that "main guy" that you're referring to? Just curious.

BTW, Justin Sun said he will buy $1million worth of GME, then $10millions would be more appropriate, and he will buy "when markets open here". No sign that he actually bought anything yet.
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This was 20hrs ago

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Not that guy. Some other guy who seems to be the official person behind this? It's an avatar, not a person. Everyone seems to retweet what they say on behalf of WSB??

Again I'm not 100% in on this mess, just talking out of my ass as we go.

Activate said:

You're kidding... right?

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Right

Oh and about that McDonald’s employees flipping burgers. You really don’t get the point.
I have a major on financial engineering and their Due Diligence and research make me look like a kid learning to walk by watching the Olympic Games.
Since 2 weeks it’s not really the case because it jumped from 2 millions to 6 millions. The newbies are just here for the hype and most of them don’t know what a short is.
The guy putting 50k on options expiring in a year and risk to lose it all didn’t sell at 1 million, nor at 4 millions, and now he is at 45 millions and he isn’t selling. You and me would definitely cashed out at 1 million and call it the best trade of your life. He didn’t. And he was right, end of story.

redjebo said:

And that's exactly what has been assessed by the market and reflected in their shares price trend, what are you even on about?
And we aren't assessing only the net of what a business is worth, but the price of its public shares which does include many other factors.
GME shares were not undervalued by any stretch and short selling was for a good, fundamental reason.

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"And that's exactly what has been assessed by the market and reflected in their shares price trend, what are you even on about?" By that statement, your saying that shares will never be undervalued or overvalued because the market has determined the right price at all times. Do you see where you went wrong now?

How do you think Warren buffet became so rich? He found markets where the market did not value the price correctly, and he bought them waiting for the market to discover the value.

"And we aren't assessing only the net of what a business is worth, but the price of its public shares which does include many other factors" We are assessing the cashflows both present and future, the assets, the liabilities. What the business is worth is definitely what you are assessing when you are looking for undervalued shares. What other factors do you think we are assessing?

Dark Sky said:

"And that's exactly what has been assessed by the market and reflected in their shares price trend, what are you even on about?" By that statement, your saying that shares will never be undervalued or overvalued because the market has determined the right price at all times. Do you see where you went wrong now?

How do you think Warren buffet became so rich? He found markets where the market did not value the price correctly, and he bought them waiting for the market to discover the value.

"And we aren't assessing only the net of what a business is worth, but the price of its public shares which does include many other factors" We are assessing the cashflows both present and future, the assets, the liabilities. What the business is worth is definitely what you are assessing when you are looking for undervalued shares. What other factors do you think we are assessing?

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Shares are over/under valued all the time, it is not as simple as assets+(present)cashflows-liabilities = fair share price though.
Other major factors are overall economy/niche prognosis of growth, brand influence, future cashflows as perceived by general public vs perceived by financial/economic specialists and many hidden variables impossible to assess or only accessible to a restricted circle of insiders.

Gamestop has shown steadily declining ROI on their business model and no tangible recourse in sight for years in a row or in near future. What is that can make one argue their shares were undervalued?

bartosimpsonio said:

BREAKING FUCKING NEWS

I THINK WSB IS A COORDINATED THING BY MAJOR SPECULATORS

For some reason I had a feeling WSB was not organic.

Maybe too much time doing IM and having to fence off in online forums.... but something tells me the WSB story is fishy.

The main guy spreading WSB messages on Twitter is too damn clever, too smart, too sophisticated to be just a self described fast food employee..... No offense to fast food employees, but..... just that this is too fishy to be true

A guy living in a truck made U$ 100k but won't sell? Someone flipping burgers is holding on to a million dollars just for a cause?

Fuck this. This is fake. Someone big is behind this.

You heard it here first. WSB is probably a coordinated pump and dump being disguised as a bunch of selfless nerds.

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This is exactly how I see it.
Being mostly cynical in nature when it comes to money, here's my take on current situation involving GME and wsb:

First of all, trading is a zero sum game. Time window is so short that company can't add "value" fast enough to justify price spike. If there was a way to add value, we could classify trading GME as slightly positive sum game. Not the case.
This is orchestrated PnD , and red flags are all over the place.
Theme of the pump is "us vs them" , which means team orientated strategy for individuals in game theory.
Team strategy works under certain conditions, and we can pinpoint conditions easily - price movement.
If price stays stable or goes up, individuals wont abandon team strategy, and won't have cognitive dissonance.
Individuals will abandon team strategy as soon as price keeps collapsing for prolonged time, due to binomial distribution of people giving up when idealistic approach starts hurting their pocket.
Few most vocal proponents are manipulating small guys, trying to sell a story, which will work until it doesn't.
Rest assured that fast food worker is ahead of the rest in terms of understanding this game theory, and will in plain terms shaft the teammates and jump the ship first.
Even if he produces evidence of his holding, you cannot know rest of his hedged trades which can easily outweigh anything presented publicly.

Exactly. Decentralization is the key!

While Reddit servers can be attacked by billionaires and governments can take action against such forums, DeepNet forums still remain unrestricted.

I think in the future we will use TOR and DeFi rather than traditional instruments.

First Twitter then Facebook and Instagram and then they took down Parler and now Reddit! Looks like China Tik Tok has some hidden agendas?

bartosimpsonio said:

Not that guy. Some other guy who seems to be the official person behind this? It's an avatar, not a person. Everyone seems to retweet what they say on behalf of WSB??

Again I'm not 100% in on this mess, just talking out of my ass as we go.



Right

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I've read your comments on this topic, and it's clear you haven't done much research in to this (that's not me having a dig at you. I fully support you just giving your opinion on what you see, and interpreting things on face value.)

The guy behind this has been buying GameStop stock for a year, and he's not anonymous. The Wall Street Journal wrote a feature on him yesterday:

https://www.wsj.com/articles/keith-...it-mania-he-talked-to-the-journal-11611931696

djw1606 said:

I've read your comments on this topic, and it's clear you haven't done much research in to this (that's not me having a dig at you. I fully support you just giving your opinion on what you see, and interpreting things on face value.)

The guy behind this has been buying GameStop stock for a year, and he's not anonymous. The Wall Street Journal wrote a feature on him yesterday:

https://www.wsj.com/articles/keith-...it-mania-he-talked-to-the-journal-11611931696

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You're absolutely right. I have no idea what this thing is except for what I've seen the past few days.

I'm being cynical about it all because it involves money and I don't think people are burning money just yet as a protest. But I could be wrong.

These revolutionary things will sent bitcoin the next universal dollar of the world. Mark my words

redjebo said:

Shares are over/under valued all the time, it is not as simple as assets+(present)cashflows-liabilities = fair share price though.
Other major factors are overall economy/niche prognosis of growth, brand influence, future cashflows as perceived by general public vs perceived by financial/economic specialists and many hidden variables impossible to assess or only accessible to a restricted circle of insiders.

Gamestop has shown steadily declining ROI on their business model and no tangible recourse in sight for years in a row or in near future. What is that can make one argue their shares were undervalued?

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Sorry but I think you don't understand.

All those factors you mentioned, are factors to predict future shareprice.

Predicting share price and deciding if the current share price is undervalued are two completely different things. Like massively different thing.

I think what you are doing is asking "Will the shareprice be higher than it is now" to determine if it's undervalued. That's not what undervalued means.

Dark Sky said:

Sorry but I think you don't understand.

All those factors you mentioned, are factors to predict future shareprice.

Predicting share price and deciding if the current share price is undervalued are two completely different things. Like massively different thing.

I think what you are doing is asking "Will the shareprice be higher than it is now" to determine if it's undervalued. That's not what undervalued means.

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Those are not that different at all and are highly correlated, future shareprice predictions by legitimate source dictates its valuation in the current time. In fact, you will only buy a stock if its future predicted price is expected to be higher or if all the business assets if to be liquidated today were worth more than the total of its shares valuation , that IS the very meaning of undervalued.

Josh Saga said:

That would be disastrous for the Forum tho - BHW can be taken to court.

I was just speculating about the power of this community

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I really like this thought. I read somewhere that WSB mostly consists of middle class people who aren’t rich but aren’t poor either. So they can at least invest something and let it go. It would be interesting to know if that is also the case for BHW.

redjebo said:

Those are not that different at all and are highly correlated, future shareprice predictions by legitimate source dictates its valuation in the current time. In fact, you will only buy a stock if its future predicted price is expected to be higher or if all the business assets if to be liquidated today were worth more than the total of its shares valuation , that IS the very meaning of undervalued.

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Your on the right lines with the assets, cashflow/future cashflows and liabilities are needed in that equation too.

Undervalued = intrinsic value below total share valuation.

Intrinsic value determined by assets/cashflows/liabilities.

Nothing to do with predictions based on all the factors you mentioned.

bartosimpsonio said:

Not that guy. Some other guy who seems to be the official person behind this? It's an avatar, not a person. Everyone seems to retweet what they say on behalf of WSB??

Again I'm not 100% in on this mess, just talking out of my ass as we go.



Right

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I think you're talking about this guy
https://mobile.twitter.com/WSB__ChairmanI followed this drama for a bit (had too much popcorn at hand, so..) and I can tell you that this guy is the founder of /r/wallstreetbets but currently has nothing to do with the guys that are running that subreddit. Apparently he was banned 13 (?) months ago for trying to monetize the subreddit. Some people revolted and he lost it, so they took over.
What's happening now is that he is trying to ride the storm for profit, his followers increased by a lot on Twitter, he made some profit out of GME, but it's not his move, he's being blamed by the WSB mods.
OK, now, i don't know a lot about stocks and such (and I don't really care about this GME stuff, i love drama and popcorn), but apparently there's a lot of people telling lies and a lot of people involved emotionally (which they shouldn't, because it's all about the money here, emotions have no role in money making decisions, but whatever..).
This really seemed interesting to me, that people from all around the world bought GME "to make the hedgefunds in Great 'Murica bleed to death!".
I have no clues about any war between american hedgefunds and people from other countries, so I'll stop here.
Anyway, if you try to find verifiable data about how short GME is,well, congrats for your new job, it will take you a while. Nobody knows if the big shorters went out and if this is actually just a big-big Long.
Nobody I can trust, at least. Or maybe I didn't searched enough.
Anyway.. finished popcorn, back to work.
Good luck to GME holders!

Dark Sky said:

Your on the right lines with the assets, cashflow/future cashflows and liabilities are needed in that equation too.

Undervalued = intrinsic value below total share valuation.

Intrinsic value determined by assets/cashflows/liabilities.

Nothing to do with predictions based on all the factors you mentioned.

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When there is no value, you cannot create value by shouting really loud.

If the redditors did not short squeezed in an organised fashion there wouldn't have been any rise in gme's shares price.

When the prices become rational again there'll be a bunch of people losing money for some few to exit with massive gains scooped off of their fellow redditors pockets.

There was no value in buying shares of that company even without the short selling taking place.

bartosimpsonio said:

BREAKING FUCKING NEWS

I THINK WSB IS A COORDINATED THING BY MAJOR SPECULATORS

For some reason I had a feeling WSB was not organic.

Maybe too much time doing IM and having to fence off in online forums.... but something tells me the WSB story is fishy.

The main guy spreading WSB messages on Twitter is too damn clever, too smart, too sophisticated to be just a self described fast food employee..... No offense to fast food employees, but..... just that this is too fishy to be true

A guy living in a truck made U$ 100k but won't sell? Someone flipping burgers is holding on to a million dollars just for a cause?

Fuck this. This is fake. Someone big is behind this.

You heard it here first. WSB is probably a coordinated pump and dump being disguised as a bunch of selfless nerds.

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Looks like my crazy conspiracy theory wasn't entirely crazy after all.

Which leads me to the question: Will my GMI stock (bought in at 50 USD) rise in value?

If you were a company who wanted to pump your own stock.....