Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

Barstool founder Dave Portnoy sells GameStop, AMC shares at $700K loss
New York Post ^ | February 2, 2021 | Thornton McEnery

Posted on 02/02/2021 11:02:31 AM PST by nickcarraway

click here to read article


Navigation: use the links below to view more comments.
first 1-2021-4041-6061-8081-85 next last
Even back in the 80s, market makers would stabilize stocks going up or down precipitously.
1 posted on 02/02/2021 11:02:31 AM PST by nickcarraway
[ Post Reply | Private Reply | View Replies]

To: nickcarraway

Whatever happened to the Plunge Protection Team?


2 posted on 02/02/2021 11:04:30 AM PST by nascarnation
[ Post Reply | Private Reply | To 1 | View Replies]

To: nickcarraway

So much for diamond hands.


3 posted on 02/02/2021 11:04:52 AM PST by KarlInOhio (The greatest threat to world freedom is the Chinese Communist Party and Joe Biden is their puppet.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: nickcarraway

perp turns victim. What a joke.


4 posted on 02/02/2021 11:05:31 AM PST by hinckley buzzard
[ Post Reply | Private Reply | To 1 | View Replies]

To: nickcarraway
The house always wins.

But Dave will be fine.

5 posted on 02/02/2021 11:06:17 AM PST by thefactor (yes, as a matter of fact, i DID only read the excerpt )
[ Post Reply | Private Reply | To 1 | View Replies]

To: nickcarraway

I’m going to end up drinking cheap beer the rest of my life. It’s going to be a dark winter just like Biden said.


6 posted on 02/02/2021 11:07:02 AM PST by BipolarBob (It's all fun and games until Mrs. Bipolar catches me posting on Free Republic without permission.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: nascarnation

Sounds like he got greedy


7 posted on 02/02/2021 11:08:38 AM PST by nikos1121 ( )
[ Post Reply | Private Reply | To 2 | View Replies]

To: nickcarraway

I am paraphrasing an old saying: “when you set out for revenge, dig two graves.”


8 posted on 02/02/2021 11:08:52 AM PST by PTBAA
[ Post Reply | Private Reply | To 1 | View Replies]

To: nickcarraway

Someone wins, someone losses.


9 posted on 02/02/2021 11:09:21 AM PST by Jonny7797
[ Post Reply | Private Reply | To 1 | View Replies]

To: nickcarraway

10 posted on 02/02/2021 11:13:08 AM PST by NohSpinZone (First thing we do, let's kill all the lawyers)
[ Post Reply | Private Reply | To 1 | View Replies]

To: nickcarraway

Poor baby.


11 posted on 02/02/2021 11:14:41 AM PST by gcparent (Justice Amy Coney Barrett)
[ Post Reply | Private Reply | To 1 | View Replies]

To: nickcarraway

Economic kamikrazies (sic) crash and burn? No surprise, but they did do some damage to bystanders.


12 posted on 02/02/2021 11:15:19 AM PST by Lonesome in Massachussets (Ever notice no "champion of the working man" ever died of overwork?)
[ Post Reply | Private Reply | To 1 | View Replies]

To: nickcarraway

Better than paying taxes that would be used for socialism.


13 posted on 02/02/2021 11:16:23 AM PST by bigbob (Trust Trump. Trust the Plan. )
[ Post Reply | Private Reply | To 1 | View Replies]

To: nickcarraway

LIES.

Article says he OWNED stock. If he did, he would have made money.

He must have owned shorts.

No sympathy.


14 posted on 02/02/2021 11:16:39 AM PST by BereanBrain
[ Post Reply | Private Reply | To 1 | View Replies]

To: nickcarraway
“Vlad and company stole it from me and should be in jail.”

He traded in a fast, irrational market. When some markets are out of control, you have to just away from the gaming table. If you don't, there are consequences.

I traded the markets heavily last spring. Before every trade I would consider "If they shut down the exchange (there was talk of that) for a week, will I get killed, i.e what happens if the market opens a week later up 2000 points and I am short. Am I hedged for that?

15 posted on 02/02/2021 11:20:21 AM PST by BiglyCommentary
[ Post Reply | Private Reply | To 1 | View Replies]

To: nickcarraway

Isnt what Dave Portnoy did illegal? Like a corporate raider that gets on the board of a valuable/prosperous publicly held company and then ruins the company?

What did Martha Stewart do that caused her jail time compared to what these Dave Portnoy types do all the time?

Picking a company they don’t like, shorting the stock, ruining the company and making billions. WTH?


16 posted on 02/02/2021 11:20:55 AM PST by BarbM (FU Pence. You refuse to be alone with a woman, but have no compunction in screwing the USA)
[ Post Reply | Private Reply | To 1 | View Replies]

To: nickcarraway
Even back in the 80s, market makers would stabilize stocks going up or down precipitously.

Wasn't possible in these cases, or at least in GME and maybe AMC. The short interest was already well over 100%. The market makers were on the precipice of being in violation of short selling regulations, and the banking desks were more concerned that their short clients were able to raise the collateral to hold their short positions (one short seller had to borrow $2 billion in cash from Citadel). The Market Makers would have had to naked short even more than they already had to create stability and liquidity, and they were already on the very far wrong side of the trade. That is what made these few stocks that went wild such good marks for the flash mob. The short interest by both the funds, and the market makers who provide liquidity via naked shorting, was already maxed out.

But Portnoy is, imo, too smart to have chased these issues late in the game. I think he booked these losses so he can join in various class action lawsuits against Robinhood et al. There is another game that will play out over the next few years to expose the methods by which the Market Maker exemptions are exploited by hedge funds to inflate the numbers of shares and deflate their price. Sort of a self-fulfilling prophecy if you can artificially increase the supply of a stock it ordinarily will go down - unless of course the demand suddenly spikes. It was profitable for HFs for a long time - until it wasn't.

Patrick Byrne, Founder of Overstock, which itself was heavily shorted 10-15 years ago, tried to expose it but only got a small audience given the technology available at the time. He produced a very good video though explaining the mechanisms and it may still be out there or on his website Deep Capture.

17 posted on 02/02/2021 11:21:00 AM PST by monkeyshine (live and let live is dead)
[ Post Reply | Private Reply | To 1 | View Replies]

To: BereanBrain
GME is trading at about $105 right now. It peaked at over $500 a few days ago. It really depends on when he bought ...

Usually, once a big trading event is all over the news, it is time to exit ....

18 posted on 02/02/2021 11:21:49 AM PST by bankwalker (groupthink kills ...)
[ Post Reply | Private Reply | To 14 | View Replies]

To: nickcarraway

GME is at 108 right now, still way above the ~$4 price when the short squeeze was noticed by WallStreetBets.

Sorry that Dave bought GME when it was near the top, but you can’t chase a trend.


19 posted on 02/02/2021 11:22:24 AM PST by Yo-Yo (is the /sarc tag really necessary?)
[ Post Reply | Private Reply | To 1 | View Replies]

To: BiglyCommentary

This guy’s account size was way,way over his trading ability and experience.


20 posted on 02/02/2021 11:22:31 AM PST by BiglyCommentary
[ Post Reply | Private Reply | To 15 | View Replies]


Navigation: use the links below to view more comments.
first 1-2021-4041-6061-8081-85 next last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson