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- Tuesday - September 27, 2022
Tuesday - September 27, 2022
Mother Squeezer
September 27, 2022
Today's newsletter will take 2.71 minutes to read.
DRS UPDATE: 54.28*% (estimated percent of GME shares direct registered)
*source: Computershared.net
On tap this morning:
Monday recap
GameStop NFT update
Did you know?
What is a Short Squeeze?
Ryan Says
Good Morning! This is Mother Squeezer, the newsletter that enjoys relief bounces and brings you clever life hacks, updates and insights, along with timely information about our favorite Activist Investor, Ryan Cohen, and our favorite stocks - GME and BBBY.
It's nice to see both GME and BBBY up in pre market. A reminder that shorting a stock means a promise to buy back later. Congratulations to BBBY for taking the blue ribbon for being the #1 most shorted stock in the world!
We were feeling quite generous this morning and wrote a very healthy check as a donation to a local animal shelter.. we heard dogs love things that bounce. /joke
While we're on the topic of bouncing, today's clever life hack will have your place staying cool and fresh:
So fresh and so clean, clean!
Monday Recap: BBBY traded between a low of $6.34 and a high of $7.15 before closing at $6.37. Trading volume was 9.57 million shares.
Cost to borrow: There were 500,000 shares available to borrow this morning and as of now, 65,000 remain. The cost to borrow has remained at 13.2%.
Pre market: Bed Bath and Beyond is trading up $0.55 to $6.92 an increase of 8.63% on over 220 thousand volume.
Max pain: The current max pain for BBBY has dropped to $7.50.
Monday Recap: GME traded between a low of $24.12 and a high of $25.87 before closing at $24.48. Trading volume was 3.43 million shares.
Cost to borrow: There were 550,000 shares available earlier this morning. Currently there are 0 remaining. The cost to borrow has dropped a tad to 10%.
Pre market: GameStop is trading up $0.57 to $25.05 an increase of 2.33% on 50 thousand volume.
Max pain: The current max pain for GME has dropped to $26.00.
GameStopNFT tweeted:
Pros, just one day left to take part in our special offer coming your way in collaboration with @GodsUnchained !
Make sure to sign-up for PowerUp Rewards Pro before SEPT 27 CT midnight to get access to free Gods Unchained card packs! gamestop.com/poweruprewards…
— GameStopNFT (@GameStopNFT)
4:18 PM • Sep 26, 2022
If you're not a GameStop PowerUp Rewards Pro member, check it out!
Did you know?
Short squeezes are often triggered by unexpected good news, which pushes the security price higher than usual. This will gradually increase the buying squeeze, which is beginning to move the market selling squeeze.
What Is a Short Squeeze?
Let's say that a short trade has gotten crowded. You have a lot of short sellers, all of whom have borrowed shares and all of whom must eventually pay them back. This is a tinderbox just waiting for a match.
If something – anything – causes the stock to rise, it can quickly turn into a buying frenzy as the short sellers trip over one another to buy the shares so they can cut their losses and exit the trade. The higher the stock price goes, the more short sellers are forced to cut their losses by buying back the shares they sold. And their frantic buying drives the price even higher, forcing more short sellers to follow their lead.
Panic-buying begets more panic-buying, egged on by speculators who know the situation the short sellers are in and actively try to put the screws to them. This is a short squeeze in action.
Ryan Says
Ryan tweeted this back in June:
Flatulence is the best icebreaker
— Ryan Cohen (@ryancohen)
8:59 AM • Jun 20, 2022
Please tell us this is cryptic! We're not sure how to interpret this but we think we trust Ryan 😬.
Spread the Word
We love Ryan Cohen and think he's the greatest Activist Investor of our generation. We are passionate followers of his moves and words and would love for others to know more about this great leader. We feel strongly that life is all about learning who to follow. If you have someone that needs more RC in their life, share Mother Squeezer with them!
Some of our Favorite Resources
For errors, omissions or if you have something to share? Let us know!
Financial Disclaimer: None of this is meant to be financial advice. We love Ryan Cohen, RC Ventures, GameStop and Bed Bath and Beyond, and like learning and sharing these insights and commentary.
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