Reddit Warns That r/WallStreetBets Could Wreak Havoc on Its Stock Price::In its IPO documents, Reddit said the price and volume of its stock could “experience extreme volatility for reasons unrelated to our underlying business.”

  • FireTower@lemmy.world
    link
    fedilink
    English
    arrow-up
    0
    ·
    9 months ago

    Reddit seems like a prime target to short IMO. Not even as a screw Reddit move. I just would never consider investing in them in their current state. Going public was a terrible choice for them.

  • kaitco@lemmy.world
    link
    fedilink
    English
    arrow-up
    0
    ·
    9 months ago

    As someone who made about $400 on AMC, I wholly support the apes in their endeavor to pump and dump Reddit’s stock into oblivion.

    • STOMPYI@lemmy.world
      link
      fedilink
      English
      arrow-up
      0
      ·
      9 months ago

      i doubt retail has any actual power, they will pump and dump with behind the scense dark pool trades while making WSB look like a pack of apes playing their option card. but the derrivates market is like 500T - 1 quadrillion fucking dollars, and also,

      Also i must point out you paper handed bitch, talking about a 400 AMC gain like what the fuck? I love you but man thats dumbest shit i’ve ever heard anyone be proud of.

      Also ignore me I’m just angry and hate all the fucking elites and all the markets and fucking hate RC and AA and carl ichan and warren buffet and ever fucktard on the GME board that uses 100,000 word tweets to say “deep things” a 10 year old could say in 10 words…

  • AutoTL;DR@lemmings.worldB
    link
    fedilink
    English
    arrow-up
    0
    ·
    9 months ago

    This is the best summary I could come up with:


    Put simply, the company warned potential investors that one of its subreddits, the infamous r/WallStreetBets, could make its stock price and volume extremely volatile—and there’s little Reddit can do about it.

    It’s entirely possible that the everyday people on r/WallStreetBets, a subreddit of 15 million retail investors who refer to themselves as “apes” and “degenerates,” and other online forums could do the same thing with Reddit’s stock, the company stated.

    The volatility could cause people to lose all or part of their investment, the company explained, if they are unable to sell their shares at or above the IPO price.

    The long-term effect of movements like those propelled by r/WallStreetBets is already documented, with the takeaway being that surges of interest and heavy investment don’t necessarily bring success to companies over time.

    Furthermore, shares purchased by users and moderators will not be subject to a lockup, the period after an IPO where insiders and early investors are banned from selling their stock to prevent the price from going down.

    The top post on the subreddit on Friday morning—“Reddit lists WSB as a risk factor for its IPO 😏”—had thousands of comments as of the publication of this article.


    The original article contains 542 words, the summary contains 198 words. Saved 63%. I’m a bot and I’m open source!

    • STOMPYI@lemmy.world
      link
      fedilink
      English
      arrow-up
      0
      ·
      9 months ago

      Okay so Wall street cucks is full of bots and paid for shills. Fucking spazy boy spez is creating a narrative to fullfill. We all fucking know by now retail has no fucking way to move this shit stock anymore, retail has not enough power when the derrivates market, the calls and puts and what nots, is estimated up to a Quadrillion fucking dollars. That is what is moving this shit bird not us little shit seeds out here in the trailer park…

  • DogPeePoo@lemm.ee
    link
    fedilink
    English
    arrow-up
    0
    ·
    9 months ago

    So the extremely overissued IPO shares given to institutions may eat their faces

    Got it

  • dimath@ttrpg.network
    link
    fedilink
    English
    arrow-up
    0
    ·
    9 months ago

    That’s what they want them to believe, that they are very important. Good for the stock price.

    • Windex007@lemmy.world
      link
      fedilink
      English
      arrow-up
      0
      ·
      9 months ago

      How would convincing people that their plan to short the stock might be a legitimate risk (encouraging shorts) be good for the stock price?

  • GluWu@lemm.ee
    link
    fedilink
    English
    arrow-up
    0
    ·
    9 months ago

    Look, when you lose 70% of your investment, IT’S NOT OUR FAULT. Please blame retail investors that can afford $1k worth each. That $200m that spuz will be dumping and the 8% that computercuck boi has, well that’s nothing. Forget about that. It’s our own users fault.

    • wise_pancake@lemmy.ca
      link
      fedilink
      English
      arrow-up
      0
      ·
      9 months ago

      I’m starting to think this is why they’re giving shares to Redditors, it’s someone to sell while the options are flying.

  • abadbronc@lemmy.world
    link
    fedilink
    English
    arrow-up
    0
    ·
    9 months ago

    Don’t worry everybody. Our IPO might seem bad, but it’s just because our users have absolutely no faith in us.

  • Nix@merv.news
    link
    fedilink
    English
    arrow-up
    0
    ·
    9 months ago

    This article was removed from r/wallstreetbets by the mods…

  • Imgonnatrythis@sh.itjust.works
    link
    fedilink
    English
    arrow-up
    0
    ·
    9 months ago

    Wrong. It is related to your underlying business.

    Also, unfortunately WSB was a one-off. It’s a highly monitored and bot infiltrated wasteland now. I hope someone is able to screw the reddit ipo, but it won’t be WSB.

    • Pyr_Pressure@lemmy.ca
      link
      fedilink
      English
      arrow-up
      0
      ·
      8 months ago

      Ya if anything I would have expected Robinhood to have been destroyed by WSB but it’s still kicking at $14.48/share.

      They did do a number on it though since it IPOd around $60 and even almost hit $90 there briefly before plummetting to around $8.

      Reddit will probably do the same thing, start in the middle but a brief high and then plummet before finding an equilibrium about 1/4 of what reddit initially thought it would be worth.

    • SupraMario@lemmy.world
      link
      fedilink
      English
      arrow-up
      0
      ·
      9 months ago

      Apparently reddit hasn’t been following wsb… it’s likely to help the IPO from regards trying to time the market.

    • Adalast@lemmy.world
      link
      fedilink
      English
      arrow-up
      0
      ·
      8 months ago

      I’ve been planning on doing like a 6 month short on it if I have the money because it is going to be tanked hard.