SVTP stock pick thread.

jvandy50

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I was telling dad about it at lunch and it was $122, should've stuck a few grand in and paid myself back for my cam/headers project


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C2tuck

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Got my initial investment out when it hit $150. Now I’m playing on free money. If it falls (which I doubt) I have a buy order to buy more.
 

MG0h3

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So.. is it too late is the question
Who knows man.

The volume isn’t crazy high, but about 8x normal.

Dozens of penny stocks (sub $5) move a similar percentage or more every day. Sometimes multiple times a day.

This one just stands out because of the high price. I’m just referencing the bounce from 80-150 and now it’s up 70 after hours. The fact that the 12 month range is 2.50 to $225 is insane.

The company is shit. -4.20 earnings per share. 12 month price est for the stock is $12

Basically what’s going on here is lots of people shorted this stock (bet that the price would drop) because the company is in trouble. From what I’ve read, a large group with a huge following on Reddit got a lot of people to buy the stock. This drives the price up and the people that shorted it say oh shit! They have to buy the stock to “cover” their short position at a loss. I suspect this stock also had a low float (low volume of available share).

I’m not on Reddit and there is likely a smaller group that runs this group and if they decide to start a push to sell in order to take profits, you could end up holding some very over priced shares.
 

CompOrange04GT

Anyone have a strap on my girl can use on me?
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I closed on my house yesterday.. so I have money to burn... and I’m like. **** .. did. I miss out
 

C2tuck

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Basically what’s going on here is lots of people shorted this stock (bet that the price would drop) because the company is in trouble. From what I’ve read, a large group with a huge following on Reddit got a lot of people to buy the stock. This drives the price up and the people that shorted it say oh shit! They have to buy the stock to “cover” their short position at a loss. I suspect this stock also had a low float (low volume of available share).

Pretty much this. The kicker is and what makes this one different than other shorts is...

Total volume of GameStop stocks- 69 million.

Volume of stocks held by company- 20 million.

Total volume of “tradable” stocks- 49 million.

Number of stock options held right now- 71 million.

So the options are roughly 140% of actual stocks available for purchase.

So basically as the stock price goes up, the shorter has to buy stocks to cover the option they bought. But, if all these people buying and holding these stocks keep holding them the price is going to take off and the shorts will HAVE to pay whatever price the stocks are to cover them once their options expire. Most are weekly and monthly, and a shit load are going to expire on Friday.
 
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q6543

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You have to dig into the options chain to find out why shares are so valuable.

Earlier.. after the halt you could've bought around 130.. 13k and immately sold a 130 call for 40..4k WITH A FRIDAY EXPIRY. The shares are so valuable be cause IV is so high. worst case is you lose your shares and lock 4, best is it actually drops, you lock the 4 and can write week after week the whole way down.

I sold 40 puts... for 4 dollars.

Looking for an offering and a big sell off, but when it turns. I gotta grab 100.

Hope they announce soon but whatever.
 

Weather Man

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Crazy shit going on in the market, Tootsie Roll up 52% !?! And other stocks going nuts.
 

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