Can you explain the sudden rise in GameStop stock and how hedge funds are responding to it?
Answered by:
the investments comment were clear and to the point.
From an accounting viewpoint, Not much to say
Example of supply and demand. And how the hedge funds play the games.
the impact of large numbers, The hedge funds bet big on the stock price declining.
The noted the trend - Retail stores business model is being crushed by online, both in sales, and the games have gone to be computer basis.
The small investors, with social media and computer. The professor, saw the trend, understood, who the short sales game was play, And got creating with getting large number of people, increase the demand to buy the stock.
This time, the investors, bet the hedge funds at their game.
The company unless they sold treasury stock, or issued new share most likely did not benefit from the stock movement. Other than the any value, of being very talk about, in the media. And social media.
Another example, of the double standards, of how the game is awesome if when you are winning, The big and powerful. However needs reforming when they lose.