What Just Happened With GameStop?

GameStop is back in the news after rallying over 100% this week. Today's video discusses what's going on, and whether the speculative theories around where the ticker goes from here have any merit.

DISCLAIMERS:
I do not hold a long or short position in any of the mentioned companies.
Richard Coffin is a registered portfolio manager, CFP professional and CFA charter holder.
This channel is for education purposes only and does not constitute financial advice - Richard is not responsible for investment actions taken by viewers. Please seek out a registered advisor if you require assistance (while Richard is a registered portfolio manager at WDS Investment Management, he does not provide advice through The Plain Bagel, which is not directly affiliated with his employer).

[MK-gmmq]

I quit my tarot addiction and replaced it with a bagel addiction

[diekssus]

One guy posts one meme, the markets shift, clearly the best system.

[reid]

"Those that do not learn from history are doomed to repeat it" used to apply to cycles longer than five years

[maciejglowacki]

Richard saying "deep fucking value" caught me off guard.

[chuza_]

I would love to see a meeting filled with Hedge Fund executives discussing reddit

[ItIsJan]

"a guy posted a picture on reddit"
thats what i call an efficient market!

[DavidMonarres]

Before the proliferation of the internet, in the '90s, I was so optimistic about what increasing the volume of information would do to society. Well…

[lymnjuice]

I had been sitting, holding my bag of 100 shares ($32 cost basis) since the last "run", I was using it as a reminder of my shame every time I logged into my trading account to remind myself not to day trade. Boy was I confused when my several year old limit sell sold all my shares for $45 a unit.

Guess I got to avoid learning a lesson on this one!

[unowenwasholo]

One of the most important things to realize about ourselves as humans is that we are extremely susceptible to confidence. We are more inclined to believe someone the more assertively they make their claims. Combine that with a presentation that makes us feel like we're special—like we have some forbidden knowledge that other people don't—and your going to want to believe what the person is telling you.

[daveSoupy]

Wasn’t it already up 100% when DFV posted that meme?

[nabo]

I highly recommend Folding Ideas's "Line goes up" and "This is financial advice" videos.

[KingUnKaged]

If only I had listned to the hordes of screeching gambling addicts online and put my downpayment in GME instead of trusting my certified financial planner. What a fool I was...

[matttran]

Did this once in 2021, broke even and learned my lesson the first time with no actual loss. Aint doing that again

[hazeldavis]

Just noticed your sub count- this year is going to be the year for you to break 1 million. You've done such a great job with this channel over the years and I'm stoked to see you so close to that big milestone. Thanks for the hard work and vids!

[Centurn]

Its 25% of total shares are DRS not just float.

[ruairidhhiggins]

I bought a short position in GameStop a couple of days ago after hearing about the rally. It’s doing very well.

[mtunofun]

We’ll see when the CAT system goes live on May 28th. Hedge funds, brokers, prime brokers, and market makers need to label all their transactions for transparency purposes. Right now, we don’t know if they’re honestly labelling trades like they’re supposed to (marking shorts as longs or vice versa).

[seattlegrrlie]

My coworker just bought some gamestop and I was like... This Again?

[mitchellmartin]

As someone who has a modest "for fun" position in GME, it is nice to see how deep into the weeds Plain Bagel goes into the stock with these videos. Yeah the whole situation is silly and it's hard to see how GME could validate its current market cap. But there is a lot of uncertainty about how much actual short interest exists and which if any of the bull thesis are valid, which I'm glad to hear is being talked about.

[artcamp]

Nothing matters. We have a reality problem for people who live their lives on the internet