4 ms·
So I've been wondering about how this is different. I'm wondering, at what level, this can become a self-fulfilling prophecy? A lot of the talk has been that
by interestica 6y ago
So I've been wondering about how this is different.
I'm wondering, at what level, this can become a self-fulfilling prophecy?
A lot of the talk has been that the stock price doesn't reflect the company's 'true value' (it's volatile and mostly inflated). But there are a few outcomes that truly increase the company's value. Obviously the brand/marketing aspect -- lots of free marketing. New key board placements show that they are potentially restructuring/refocusing and that potential strength is highlighted by the public messaging within WSB. (The messaging is obviously disproportionate and a reaction to negative valuations by the those that shorted it...but still influential.). It seems to be growing at about 1m+ per day. You have a lot of influencable eyes on content there.
What if GameStop gets essentially treated like a defacto co-op of sorts? What if WSB helps coordinated buys? What if it becomes the "preferred retailer" for purchasing/selling consoles? (Even going so far as recommending against purchasing from other retailers). What if it gets championed as some sort of anti-corporation corporation. What if WSB helps guide whatever transition is necessary at the retailer (e-sports? some sort of wework-gaming hybrid? Sustainable? who knows). The brick-and-mortar retail space is going to be very unpredictable in a post-pandemic world.... There could be a certain pride and self-interest in helping drive gamestop's business. A lot of the wit and intelligence gets overshadowed by outside reading of the memes. The mods over there are very smart and there's potential for something well-organized to come out of this.
We might look at how WSB affects Robinhood as a business as some kind of indicator of the massive power of such an organized group.
The company has the potential to become as valuable as the "inflated" valuation.