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Reports are that Silver Lake sold their stake for $713 million, so they definitely got a decent return. https://www.barrons.com/articles/amc-entertainment-inve

Reports are that Silver Lake sold their stake for $713 million, so they definitely got a decent return. https://www.barrons.com/articles/amc-entertainment-investor-silver-lake-sells-stake-51611962182 https://www.barrons.com/articles/amc-entertainment-investor-...

jeffbee 6y ago
All the evidence I've seen so far is Wall Street is robbing Reddit blind. Insiders at these companies are selling into this short squeeze, BlackRock made at least a billion on GME, and now this.
- heartbreak 6y ago
  You could make a case that some redditors are robbing other redditors blind too.
  - ratsmack 6y ago
    You could also make the case that it's just the shorts that are covering so they don't end up like GME.
  - PragmaticPulp 6y ago
    /r/WallStreetBets has devolved into a pump-and-dump echo chamber. I was a member of /r/WallStreetBets for several years. It was fun to joke around and talk quant stuff in some of the comment threads before it devolved into pure memes. Recently, I commented on a few of the front-page threads to correct some misinformation. They banned my account within minutes. They don't want to see any comments that don't support the pump. At this point, they're heavily moderating the sub to only allow posts and comments that glorify $GME. The only allowable content is that which insinuates anyone who buys $GME is about to get extremely wealthy, or that everyone buying $GME is sticking it to Wall Street. The situation has gone from funny to scary as Redditors are pouring money into $GME with expectations of getting rich and taking down Wall Street at the same time. Subreddit moderators have no interest in letting any comments through that might spoil the party before the early $GME buyers can exit their positions.
    - daed 6y ago
      Care to elaborate on some of your points/concerns here? I’m not an expert, but it sounds like short interest is still so high that if a coordinated group can hold the line they’ll squeeze the shorts. But you and other posters make it sound like that isn’t possible. Can you or anyone else explain why not?
      - vga805 6y ago
        Big banks own upwards of twice as much as retail. What is the big banks target price and what is retails target price? Over on WSB they're going nuts claiming that 5k isn't a meme. The banks aren't holding until then. If they decide to offload at, say, 600, then retail will be left with the bag since the bank selloff will drop the price down dramatically. That's the claim as I've seen it made on the /r/stocks subreddit. I have a lot of shares. In at $17. I'm not sure what to think. I've already taken out 5x my initial investment. I've been doing as much research as I can to determine how high this could go, partially for my own benefit, but I also want to "hold the line." Who knows what would have happened had RobinHood and others not shut down buying. I'm pretty sure I would have retired.
        PragmaticPulp 6y ago
        > Who knows what would have happened had RobinHood and others not shut down buying. I'm pretty sure I would have retired. This is another misconception: Robinhood didn't exactly choose to shut down buying. The extreme volatility required significant extra collateral to be posted, which Robinhood probably didn't have the money for. This is why they had to do an emergency raise of a billion dollars and draw down their credit lines. Robinhood also makes all accounts margin accounts by default. They try to hide the fact that trades don't settle until T+2 days by making the margin invisible to the end-user, but it still draws down their credit. Robinhood Instant [transfers] also consume margin while they wait for incoming bank transfers. Without an infinite supply of credit, it just wasn't possible to allow unlimited buying (margin buying in most cases, due to T+2 settling or bank transfer delays) of GME stock. Congrats on the value of your shares, but I would implore you to come up with an exit strategy. Even /u/DFV has been slowly taking money off the table during this entire run-up. Don't let yourself be one of those people talking about how you had a paper gain of a million dollars for a brief moment in 2021 before you lost it all.

jeffbee 6y ago

All the evidence I've seen so far is Wall Street is robbing Reddit blind. Insiders at these companies are selling into this short squeeze, BlackRock made at least a billion on GME, and now this.

heartbreak 6y ago
You could make a case that some redditors are robbing other redditors blind too.
- ratsmack 6y ago
  You could also make the case that it's just the shorts that are covering so they don't end up like GME.
- PragmaticPulp 6y ago
  /r/WallStreetBets has devolved into a pump-and-dump echo chamber. I was a member of /r/WallStreetBets for several years. It was fun to joke around and talk quant stuff in some of the comment threads before it devolved into pure memes. Recently, I commented on a few of the front-page threads to correct some misinformation. They banned my account within minutes. They don't want to see any comments that don't support the pump. At this point, they're heavily moderating the sub to only allow posts and comments that glorify $GME. The only allowable content is that which insinuates anyone who buys $GME is about to get extremely wealthy, or that everyone buying $GME is sticking it to Wall Street. The situation has gone from funny to scary as Redditors are pouring money into $GME with expectations of getting rich and taking down Wall Street at the same time. Subreddit moderators have no interest in letting any comments through that might spoil the party before the early $GME buyers can exit their positions.
  - daed 6y ago
    Care to elaborate on some of your points/concerns here? I’m not an expert, but it sounds like short interest is still so high that if a coordinated group can hold the line they’ll squeeze the shorts. But you and other posters make it sound like that isn’t possible. Can you or anyone else explain why not?
    - vga805 6y ago
      Big banks own upwards of twice as much as retail. What is the big banks target price and what is retails target price? Over on WSB they're going nuts claiming that 5k isn't a meme. The banks aren't holding until then. If they decide to offload at, say, 600, then retail will be left with the bag since the bank selloff will drop the price down dramatically. That's the claim as I've seen it made on the /r/stocks subreddit. I have a lot of shares. In at $17. I'm not sure what to think. I've already taken out 5x my initial investment. I've been doing as much research as I can to determine how high this could go, partially for my own benefit, but I also want to "hold the line." Who knows what would have happened had RobinHood and others not shut down buying. I'm pretty sure I would have retired.
      - PragmaticPulp 6y ago
        > Who knows what would have happened had RobinHood and others not shut down buying. I'm pretty sure I would have retired. This is another misconception: Robinhood didn't exactly choose to shut down buying. The extreme volatility required significant extra collateral to be posted, which Robinhood probably didn't have the money for. This is why they had to do an emergency raise of a billion dollars and draw down their credit lines. Robinhood also makes all accounts margin accounts by default. They try to hide the fact that trades don't settle until T+2 days by making the margin invisible to the end-user, but it still draws down their credit. Robinhood Instant [transfers] also consume margin while they wait for incoming bank transfers. Without an infinite supply of credit, it just wasn't possible to allow unlimited buying (margin buying in most cases, due to T+2 settling or bank transfer delays) of GME stock. Congrats on the value of your shares, but I would implore you to come up with an exit strategy. Even /u/DFV has been slowly taking money off the table during this entire run-up. Don't let yourself be one of those people talking about how you had a paper gain of a million dollars for a brief moment in 2021 before you lost it all.