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GameStop shares are jumping again, but short sellers aren’t backing down
invite response
2021 Jan 26, 6:54am 16,090 views 215 comments
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210
Patrick
2021 Apr 15, 4:58pm
Patrick
2021 Apr 15, 4:58pm
Ah! Now I get it.
Thanks @EBGuy
The key is the the shorted shares are out there God knows where, and the person who bought them from the shorter is the one getting the actual dividend payment from the company.
So the shorter is liable to pay that dividend to the person he borrowed the shares from.
That's also kinda interesting because the dividend is being paid out twice in the case of shorted stock. First from the company to whoever bought the shares from the shorter. But then the shorter himself has to pay it to the guy he borrowed the shares from.
Thanks @EBGuy
The key is the the shorted shares are out there God knows where, and the person who bought them from the shorter is the one getting the actual dividend payment from the company.
So the shorter is liable to pay that dividend to the person he borrowed the shares from.
That's also kinda interesting because the dividend is being paid out twice in the case of shorted stock. First from the company to whoever bought the shares from the shorter. But then the shorter himself has to pay it to the guy he borrowed the shares from.
211
EBGuy
2021 Apr 15, 5:01pm
Patrick says
Yeah, that's something I didn't realize until we had this discussion. It's a "short dividend stimulus" in the overall market.
That's also kinda interesting because the dividend is being paid out twice in the case of shorted stock.
Yeah, that's something I didn't realize until we had this discussion. It's a "short dividend stimulus" in the overall market.
212
zzyzzx
2021 Jun 23, 5:33am
https://dailycaller.com/2021/06/22/hedge-fund-white-square-capital-gamestop-meme-stock/
A London-based hedge fund that bet against GameStop during the first “meme stock” rally in January is shutting down after facing double-digit percentage losses, the Financial Times first reported Tuesday.
White Square Capital said in a recent letter to investors it would shut down its main fund and return capital following a review of its business model, according to people familiar with the matter. The hedge fund had managed about $440 million in assets during its peak but suffered huge losses betting against GameStop early this year, the Financial Times reported.
Small-time retail investors, coordinating their actions on online forums such as r/WallStreetBets in January, drove up the price of so-called “meme stocks,” including GameStop and AMC Entertainment. GameStop surged from less than $20 at the start of the year to more than $480 at its peak.
Hedge funds caught in the short squeeze, including Melvin Capital and Light Street Capital, incurred substantial losses. Melvin Capital, the largest fund that bet against GameStop, saw more than half of its $12.5 billion portfolio wiped away in January.
zzyzzx
2021 Jun 23, 5:33am
https://dailycaller.com/2021/06/22/hedge-fund-white-square-capital-gamestop-meme-stock/
A London-based hedge fund that bet against GameStop during the first “meme stock” rally in January is shutting down after facing double-digit percentage losses, the Financial Times first reported Tuesday.
White Square Capital said in a recent letter to investors it would shut down its main fund and return capital following a review of its business model, according to people familiar with the matter. The hedge fund had managed about $440 million in assets during its peak but suffered huge losses betting against GameStop early this year, the Financial Times reported.
Small-time retail investors, coordinating their actions on online forums such as r/WallStreetBets in January, drove up the price of so-called “meme stocks,” including GameStop and AMC Entertainment. GameStop surged from less than $20 at the start of the year to more than $480 at its peak.
Hedge funds caught in the short squeeze, including Melvin Capital and Light Street Capital, incurred substantial losses. Melvin Capital, the largest fund that bet against GameStop, saw more than half of its $12.5 billion portfolio wiped away in January.
213
HeadSet
2021 Jun 23, 8:37am
HeadSet
2021 Jun 23, 8:37am
zzyzzx says
I presume that this "return of capital" to investors will be a fraction of what those investors put in.
White Square Capital said in a recent letter to investors it would shut down its main fund and return capital
I presume that this "return of capital" to investors will be a fraction of what those investors put in.
214
zzyzzx
2023 Sep 28, 8:21am
zzyzzx
2023 Sep 28, 8:21am
https://finance.yahoo.com/news/ryan-cohen-named-gamestop-ceo-123317063.html
(((Ryan Cohen))) named GameStop CEO
Every single time!!!
(((Ryan Cohen))) named GameStop CEO
Every single time!!!
« First « Previous Comments 210 - 215 of 215 Search these comments
GameStop’s short interest stands steadily at 139%, unchanged from a week
Interesting read on how a messageboard found a stock shorted at > 100% of the stock, so they decided to collectively buy the stock, hoping to make money off a short squeeze.
IMO, gambling, not investing, but I should add it to my watch list to see what happens.