a number of hedge funds i've talked to have been shorting GME around $300-350....so if it goes up to $1000, the buyers will be these new hedge fund shorts getting stopped out...the cycle continues.
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But will GME really go to a $1000 though?
If retail shareholders collectively holding tens of millions of shares refuse to sell, it's a supply and demand problem.
What happens if Gamestop issues new shares? Obviously this thing would probably drop QUICK. Is there anything preventing them from doing this rather quickly? They'd be kind of dumb not to... at least pay off the debt
I am pretty sure it is legal for them to issue shares right now, the court allowed hertz to do it during high distress so I don't see why they could not in theory. In practice, the price would tank
i talked to a couple IB MDs and they said no investment bank is willing to take that risk (fear of lawsuit or getting stuck with worthless stock)...GME would have to sell shares directly into the market, and they are not setup to do that.
SEC stopped Hertz Your info is wrong.
The most they could do right now is 100M, which is a drop in the bucket compared to what's traded now.
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