I bought 100 shares and sold a 73$ weekly covered call. If it blows past 73 I still net over 2k, if it doesn’t go lower than 52 I still profit. Haven’t really gambled since making a decent nestegg on gme.

Capitalism is idiotic. I’d like to say that right now isn’t a great time to play the market (2020 was stupidly easy), don’t emulate me I just haven’t traded in months and I decided to run a big gamble here mostly for old times sake.

My thoughts: Don’t gamble your money on stock market speculation fueled by reddit memes, you’re going to lose it. House always wins

AMC is $11 billion in debt, made about $5-5.5 billion in revenue in a good year with about $5 billion in expenses, little asset growth, little revenue growth. If things go back to normal and they are able to make a profit again, they’re probably at about 55 PE ratio, but they also have twice as much debt now so maybe worse. This is probably a zombie at best. They’re doomed if interest rates go up. So since stocks always do the opposite of what I predict, it’s definitely a “Buy”. Note that they have $11 billion in debt and they recently made news by raising $230 million by issuing shares. Their interest expense for 2020 was $356 million. This company is absolutely fucked therefore I think their stock could definitely double several times over in the next few months.

:stonks-up:

AMC is up because of the holiday weekend and people seeing movies again. It was predicted months ago that it would go up if vaccination went well and covid restrictions were removed. Reagal reached all-time high recently, but has dropped a little since the beginning of May. It’s a more expensive stock (~$150) and hasn’t been memed all spring. But, at least where I am at, Cinemark closed down their theaters for good. That leaves AMC and Regal to split the market. If people keep going to the movies and the box office blueballs gets released into record-setting opening weekends, it’ll probably go up more. I don’t think it has anything to do with a short squeeze though.

GME is up because r/superstonk has been hitting r/all several times a week for a while now. No doubt that when people buy up a stock in bulk and few sell, the price will rise. I still think a lot of r/superstonk’s DD is dubious though. Everything isn’t a squeeze, which is the problem that has arisen out of the GME thing. Every new retail investor thinks everything is a squeeze. And every time the price falls it’s shorts manipulating the market. Stocks go up, stocks go down, lots of things are always shorted to some amount. When buyers are in control, price goes up. When sellers are in control, price goes down. It’s not a conspiracy.

No idea why BB is up, I haven’t looked into it. I thought everyone dipped out on it in April. Though BBBY is up too so I guess the old memes are still around.

People are finding stocks that are shorted, hyping them up, buying massive amounts, and then not selling. Regardless of the shorts, that alone is enough to raise the price. You can do that with unshorted stocks as well. You have to ask why this “short squeeze” thing works on everything from a company shorted less than 10% to one over 100%. It turns out that when thousands of people jump on a stock and then refuse to sell, the price goes up. It’s almost like when buyers dominate the market, the price rises.

The market as a whole should do better in the next two months. We’re still hitting all-time highs in the Dow and S&P. Hospitality and any in-person entertainment should do well. I’ll be curious to see how long it lasts. It would be funny for everyone to anticipate the moment when thing are back to normal and then the boost from that only lasts a week or two.

pump and dump?