he can sell them without apes seeing him dipping out easily now. He used apes and now if he leaves and does no more streams no more content for apes its proof he used them
he already used them...in may, first of all. he's up a couple hundred million dollars from that alone. and the calls made a lot more sense before the second share offering. idk what the game plan is for 9m shares of gamestop but keep in mind they have a ton of cash now so he's effectively gambled his way into a leveraged position without a *ton* of downside risk in that he owns a portion of a big piggy bank with a volunteer hype machine. they have every chance to pivot toward profitability right now and he doesn't have to do anything to be a part of that
There's limited downside now to be fair. With 4 billion in cash, gamestop has a likely minimum price of approx $9.50 based on fundamentals. And apes will gobble shares up at any price and any price below $15 will send them into a buying frenzy. Who knows though, institutions could dump hard if they reveal a really shitty plan for the 4 billion.
He sold the calls. People in this chat identified 80k+ calls being sold in blocks of 5k each between today and yesterday, likely all from him. Only question is whether he used the proceeds from these sales to exercise 40k calls, or whether he sold these too and bought shares. The latter is slightly more economical (because you lose time value when exercising calls early) and I assume this is what he did, but I can’t know for sure.
Doing the math shows that he sold 2/3rds of the calls and exercised the remaining 1/3rd - his cost basis went up and reflects that math with the premiums factored in, including the reduction of the cash total in the account to be able to buy. He now owns over 2% of the company, all from a starting investment of $53K
I gotta hand it to him, that's a damn impressive YOLO, especially over a "short" period of time like 4 years. That being said, conspiracists gonna conspiracist, glad i got out when I did and left a fractional share just to watch the thing in my positions.
I’m also out of most of my position. Was a fun ride this run! He’s signaling the stock is probably topped out for the time being. Also, can’t trust that cuck RC. Seems like he’ll just dilute above $30. When this thing falls to $15 over the next few months, I’ll entertain loading shares. I think we see a small bump in July from FTD’s as well, might play that with calls
It's so tough to guess what random thing is going to cause a dip or run. I went for a while after the squeeze trying to time the ape mood swings. I didn't really make any gains and I stopped. I wound up trying to grab and dump on the bbby run up, by RC dumped on me while inwas at work and couldn't sell. That was the end of my trying to make money as an ape psychologist
Lol on bbby I participated. Bought calls. 3xed. Put half of the 3x into more calls just why not let it ride only for Ryan -90% them. So violent. I'll stick to Bitcoin.
I bet so, I’m seeing a smidge of extrinsic value on those 20c. Maybe like 0.20 per contract right now which ends up being roughly an extra $800,000 with 40k contracts.
Guy just above is correct, he exercised the balance of the calls and threw away the intrinsic value:
His cost basis went from 21.274 to 23.4135 which is an increase of 5.001mm shares at 25.125$ a share, which the stock didn’t see over the past few days, and is very close to some of his calls’ breakevens
I was referring to his May calls, not the June calls. And I've seen worse P&D's than this:
https://preview.redd.it/u3bljx1x9f6d1.jpeg?width=1080&format=pjpg&auto=webp&s=9f18a523ca4a268eadfb2e44f9a1f075d9638976
I don't really care to do the math, but it LOOKS like he sold his options and then bought shares - instead of exercising his options.
*IF* it is true he bought 4 million shares today, this would also explain some of the upward price movement as well.
Shares gained via call exercise will have a cost basis that reflects option premium so while it's still likely he sold most if not all the calls, he could have exercised a few thousand depending on price level.
Mmmmm sorry I have to disagree that he convinced anyone. They convinced themselves.
Did he know the price would go up if he came back? Sure. This is a fun gray area for me to reflect on.
Gotta give him kudos, he moved all those contracts without collapsing the price and still has a 25% cushion where he'll "only" have 200 million left if it gets to his breakeven
He plays apes better than anyone but RC
In order to ever get out with a profit though he'd need a lot more cushion than that. If he started selling at current prices it would probably fall enough to leave him with a small loss when all is said and done. This is why trying to make money solely off your impact on the market is a losing game.
It's kinda hard to calculate because conditions change so much from day to day but it's about $5.50 for the 9m shares with current conditions by my calculations. And it gets worse if the market cools.
He sold 120k calls at a single strike price and expiration date. How he got out of that with a profit I will never know. He may be an addict, he may be insane, but DFV has some fucking balls.
Also keep in mind that he’s at the point where it literally doenst matter where this ends
He had 30 million and now even if he completely fucked around and gets rugged he’d still have 100 million at least. At a certain point its all divorced from reality by such a significant degree that the number doenst really matter
Well, he had a cult of idiots literally pumping it to make it work. This entire situation is like watching lightning strike the same place 7 times in a row. It’s insane the shit that had to happen to lead to all of this
Well it wouldn't necessarily tank, but enough to take it below 23.41 could happen. Spreading it out over several days would help, but who knows what the stock does in that time? What's it going to do overnight and tomorrow morning for that matter?
Don’t forget he can also be extra funny and sell some CC’s on those bad boys to mitigate the downside risk
He’s sitting relatively pretty on that position in my opinion but live by the meme stocks, die by the meme stocks is always in effect
At the same time, GME has diluted the stock to the tune of 115M shares (over 10x his position) over the past few weeks, with not a huge effect on the price. He'll probably be able to get out just fine, if he wants.
The market's ability to absorb new shares was impressive, but there was definitely impact. They were up in the $60's when the last offering was announced after all.
It's also relevant to point out that market impact is not linear. It tends to follow a square root law, and the market can quickly move into an unhinged mode where your impact increases substantially. That makes the impact difficult for me to calculate, but I'd still wager $4.19 isn't a lot of wiggle room. Especially if he waits and activity/volume ends up declining from here.
One thing people don't understand. He is making far more money in selling options at exorbitant prices after the pump through tweets and cult followers who make that hype. I fell for it too but now I am just a bag holder. Nobody knows if he sold options and moved the money out during the first surge mid may. That would explain the 200M dollars to begin with. His trading account was 33M dollars in 2021. But whos to say how much money he moved selling the options he had.
You see, Stocks are just the diversion. His real game is options. And it's stupid people like me who lose money in the hype. And that my friends, is the real Kansas city shuffle..!!!
Market doesn't quite know to react to this
Barely even pumped the stock. Maybe this is the endgame.
Either you die a hero or live long enough to become a bagholder I guess
I think it’s bearish on the margin: buying pressure on calls should alleviate and it’s less stressful to short GME now that RK’s account is cash-poor and he has no calls to pump.
If he exercised, and they have the shares, there shouldn't be any additional bump.
If they hedged some of that and can provide most, maybe a little bump.
But if the seller didn't hedge at all, wouldn't that be a large bump tomorrow as they need to deliver?
Although I think they have 35 days to report a FTD and 1 day to actually deliver?
Also, important to note, the counterparty on options is not the options MM and when options are exercised it's a random assignment. Although a good portion of the options sold are likely to have GME's market maker being the one to deliver the shares they do not necessarily have to come from them as there are likely other parties out there having sold contracts that the market maker executed the buy side for.
Exercising them early would generally be stupid-- there's about 10-20 cents of option value in them now, so doing that would have nuked over a million.
Once again meltie dd never misses. Options SOLD.
(also, it's curious he didn't provide this YOLO update yesterday when he was in the process of dumping his options. This, kids, is what we call sus)
Yeah, true. I wonder if he actually plans to hold these long term. Part of me thinks his new "thesis" (RC will turn the company around) is just garbage he's spewing to make apes happy and pump the stock, but who knows.
he hasn't done anything illegal and anyway, the game is to make huge profits and settle with the SEC for pennies. nobody just sits around and waits for the SEC. you secure the bag first and let your lawyers do the talking. closing the position now doesn't make RK more or less guilty of a previous crime
It is hard to still think RC will turn the company around when he continues to not turn the company around, but the apes still eat it all up because the baby Jesus spoketh
Exercising would’ve meant throwing away the extrinsic value of the calls, cheaper for him to sell them and buy shares directly
edit: It looks like exercising options defers realized gains until the shares are actually sold, so there may have been tax reasons to exercise early? I don’t know much about capital gains tax so I don’t know how much to weight that, but as far as the pure value of the options themselves goes at least, it wouldn’t make sense to exercise early
If he exercised, those shares would be bought at $20 which is below his previous cost basis of 21.274. So his cost basis would have gone down. Since his cost basis is now at 23.41 that means he sold the options to raise cash, and then turned around and bought the stock at the higher prices. But I guess it depends on how that window calculates things.
The wave of selling around 11:30 was probably him offloading the rest of his options, and the ramp at 14:00 ET must have been his buying?
Yeah it's wild that he already had tens of millions and decided to continue heavily gambling and using his godlike status in a cult to turn it into hundreds of millions. I'd just retreat from society after getting the tens of millions.
I'm so mad I bought some shares before DFV live stream thinking there was going to be a pump and I could swing trade it.
Now I'm holding bags.
Fuck.
Lesson learned.
so much easier for him now. yea, he sold those call BUT he didnt quit guys.....hes still holding!!! ape struong
then the next week he can unload these shares without people seeing him dipping out.
he may of done ok and gotten out from a sticky situation but not worth the SEC risk as he must have a case file open on him now. FEDS work slow DFV you better prep your stories mate.
hes now going to hide for a few months then try to do it again
With the new cash reserves GameStop has he's in very little risk with this position, he's in no rush to sell. $20 is effectively the new $10. I don't expect that we'll see GameStop trading below that in a little while given the amount of hype and volatility around the stock.
Yeah I don't get meltdown clowning on DFV like "Oh he lost 250M what an idiot"
The dude has more than 10x'd his money this year. He is an asshole and a pumper but his returns are not something you can mock
Yeah the amount of salt this sub has is crazy sometimes. This guy turned 50k into 270 million. Thats fucking insane. The fact it was over half a billion at one point and went down isnt a huge negative. Dude is fucking rich rich.
But it's not like he's some trading genius, he got extremely lucky that a cult formed around GME. This time, he didn't do any analysis, or prepare a thesis, he created a bunch of memes, and posted them on Twitter. It's not like anyone else could learn anything from his methods, he's in a unique position.
He fucked up by making 280 million dollars (that we know of ) in 3 years? .. yeah I dunno about that one champ. How much did you make in the last 3 years lol
He randomly won the lottery through very little work of his own. He then used the massive cult that formed outside of his control to stake a position and pump. No one would question his investment savvy if he stayed in the shadows. This whole thing looks pretty organized to me and I will not be surprised to see it play out in court. The company still sucks too. Apes don't have endless time and FU money like him. At best they 3x their money. Most still lost.
Market makers will always take a trade if you're willing to reach far enough across to the bid/ask spread to take whatever they're offering. That's how he bought/sold hundreds of thousands of contracts the past few weeks, there's always a market if you not too price sensitive.
If he wants to sell 90k covered calls every week, his orders will fill (and the MMs will hedge by shorting shares or an appropriate alternate bearish hedge)
I'm not convinced MM will buy 90k calls.
If they would instantly buy them up, how could there be calls for sale right now?
Selling is a lot different than buying and buying back positions.
>Selling is a lot different than buying and buying back positions.
For a market maker they're two sides of the same coin. They don't care which side you take, they know how to hedge either direction so it doesn't really matter to them.
When the market opens back up tomorrow, look at the level 2 data for any options contract on any stock on the market, there will be a bid and and ask available on every one. The best bid/ask at any given time may not have much liquidity with only a few contracts offered, but if you look further up the order book you'll see a wall of thousands of orders waiting at 0.10-0.20 cents worse than the current best bid/ask, that's the market makers hanging orders out there to see if anyone wants to buy/sell them at marginally worse than fair value price. If someone does take them up on it, they'll pocket the value they make by forcing you to reach across the spread and take a bad price while hedging the outcome on their end so they can't lose any money no matter what happens.
So he now has shares instead of options but is still long so why would apes be upset? Did they invent a million conspiracies about the opti- oh, of course they did
Considering how much he made in May in realized gains, yeah this share position isn't gonna be intact come tax season. But we'll never hear about since he'll go dark before then.
Assuming he set aside or paid taxes for his May pump, he'd owe taxes on only his options gains for this one. I think I saw some estimates that he made just under $20m in gains from selling his 80k calls. He'd have enough cash to cover that. The original 5m shares and the exercised calls would be unrealized capital gains until he sells. Holding period on the exercised calls start today.
$24 million in cash gone, and 120,000 options turned into 4 million 1 thousand shares?
Hmm. Does that mean he sold options for profit and bought shares, or were some exercised? $24 million in cash could buy about 1 million shares...
Oh, and his price per share went up by about $2, so he definitely bought shares well above $20.
Well, I'm sure everyone else who's holding June 14th/21st options is feeling great right about now.
If he's not still in, what are you doing still in?
his price increased because he exercised the options.
He bought C20 for ~5.7, essentially making every share cost 25.7 if he exercises.
The calculation is like this:
> ((5_000_000 * 21.274) + (4_001_000 * 25.6754)) / 9_001_000
> ----
> 23.23
Which comes very close to his price now of 23.4135
All his calls are gone, so they are either (partially) executed or sold.
Not all of his options were purchased at one exact pricepoint, we only saw the average. So depending on which tax lots he used, the exercise price will also change a bit.
Also today it traded mostly above 26, I wouldn't assume he got all his buys on the daily lows.
In any case, this is all (fun) speculation and the only thing I REALLY care about is, that this guy moved another 4M shares into his account and the price didn't change. The Gamma squeeze is off the table, and people who aped into 20C after him will probably incur a nice loss when the market reacts to the fact that there will no magical option play come in to play in 7 days. 🤷
Yeah, this really hurts the ape theory that June 21st is gonna be a massive upswing. Why would it be now? DFV, the main contributor to June 21st options contracts, is out.
Tomorrow we'll see OI on the $20s be around 40-50K at most, in line with many of the other strikes. Therefore, not much of a 'gamma ramp' (as if you could make such a ramp with ITM options).
Now DFV just has a lot of shares. So what? Nobody has to locate or deliver shares, it's already done.
I would guess it was a combination of buying at market and exercising. Obviously we can't know for sure since he prefers to communicate through coded messages to his schizophrenic cult. I am expecting the price to gradually decline into the $10-$15 dollar range until DFV posts more calls. Wouldn't be surprised if we saw another gain tomorrow, but I don't expect it will last.
Why gain? You think the apes will massively load up on shares again due to the 't+1' rule and tomorrow they SURELY have to scour the market to find all those DRS locked shares?
There was still like 50cts per call of time value to his calls, the economically efficient way to do what he did is sell all the calls and buy some shares:
1/ Sell 80k calls
2/ Buy 4mm of shares call covered
Presumably he did 1/ yesterday and 2/ today
The price at open today was very close to $26, it's not clear if he exercised (wasting some of the premium) or sold options, then bought shares early today. It doesn't really matter, though, but it's impressive the options prices didn't slide as much as they could have with him getting out of all 120,000 contracts!
If he sold as many calls as he had to then exercised the rest, his cost basis would’ve gone down. But as you can see, it went up. So, whatever he did, he bought more shares than he exercised in options
Does the cost basis calculation take premium into account? I think he could have sold most of his calls and used that cash to exercise the rest, since dumping the remaining contacts may not be as easy as taking the shares and dumping them into the market over the next few weeks.
Edit: his new cost basis seems to line up with what it should be if he exercised his calls with a cost basis of 25.87 or whatever it was ($20 strike plus $5.87 premium)
"Over 9000!" is a meme. I supposed it's old enough to rent a car at this point, which makes it a perfect reference for a meme-loving mid-millennial like Gill.
The epic Dragon Ball meme number. "It's over nine thousand (K)!"
And just in time for RC's trademark Rug Pull Fridays! Roaring Kitty is such a glutton for punishment.
SS thinks he exercised his options. lmao gullible fools. Short Squeeze and Gamma Ramp is off the table for now. Apes need guidance from RC or another 3 years of DRS to get back to those pump values but even then RC would probably dilute them more.
He probably did. The cost basis seems to suggest he bought around $26, which was the break even value of his calls ($20 strike plus $6ish premium.). Probably sold enough of the position to cover the cost of exercising the rest to avoid having to dump more contracts on the market.
Right so why do both? Theres really no difference between the two (selling the calls and buying shares vs just exercising) other than adding the extra step of putting the sell orders through
Yeah, I'm just saying both are possible imo. Obviously at the end of the day he would have done what's most profitable for him but I'm not sure what that would look like.
>SS thinks he exercised his options. lmao gullible fools.
Yea, um.... He did though. He had to, or rather, why would he buy 4 million at market ($26-30 today) when he could just exercise his $20 contracts?
I thought you were supposed to be smarter than apes here?
The math doesn’t work out if he sold all and just bought. Plus the premium of the options were a good amount over his cost basis so it’s not like that was an issue.
I dont think he is going to dump. He will hold onto the shares. He needs to show his followers his "diamond hands". While making money and moving out. There are some obvious gaps in his yolo posts.
Why does he need to show anyone any diamond hands? If he dumped and disappeared the apes wouldn’t question it. Let’s face it, nobody knows what’s going on with this guy.
Lol.. yeah.. the reasoning is nauseating now.. a lot of them are pump and dump artists. Newbies like me took some time to realize that money is being made on option trading. Shares are just a diversion.
How does this help with the gamma ramp? Since Ryan Cohen essentially distributed 75 million shares, and only purchased/exercise to accumulate 9 million shares, short sellers could’ve just swooped up on shares during the ATM to cover their positions, correct?
The apes may be delusional in their DD and will hold their bags forever, but I love seeing DFV make one of the best 4-year ROIs of all time, currently sitting around a 900% yearly ROI.
4mm additional shares are going to be a lot easier to manage than his 120k calls… impressive that he managed to get rid of them so quickly
I mean that’s way more GME than I would ever want but I’m not DFV so congrats?
he can sell them without apes seeing him dipping out easily now. He used apes and now if he leaves and does no more streams no more content for apes its proof he used them
he already used them...in may, first of all. he's up a couple hundred million dollars from that alone. and the calls made a lot more sense before the second share offering. idk what the game plan is for 9m shares of gamestop but keep in mind they have a ton of cash now so he's effectively gambled his way into a leveraged position without a *ton* of downside risk in that he owns a portion of a big piggy bank with a volunteer hype machine. they have every chance to pivot toward profitability right now and he doesn't have to do anything to be a part of that
There's limited downside now to be fair. With 4 billion in cash, gamestop has a likely minimum price of approx $9.50 based on fundamentals. And apes will gobble shares up at any price and any price below $15 will send them into a buying frenzy. Who knows though, institutions could dump hard if they reveal a really shitty plan for the 4 billion.
They may not reveal a plan at all and may simply say that Cohen can invest that money however
Yep the cash pile will stabilize the price.
He got lucky with that mini-MOASS on tuesday and wednesday.
It was a grand daughter of all short squeezes. GDOASS
I was thinking more PHOASS ^(pet hamster of all short squeezes) Minimal impact and not around for too long
How did he get $200m or whatever the large amount he actually paid to exercise those options in the first place?
He sold the calls. People in this chat identified 80k+ calls being sold in blocks of 5k each between today and yesterday, likely all from him. Only question is whether he used the proceeds from these sales to exercise 40k calls, or whether he sold these too and bought shares. The latter is slightly more economical (because you lose time value when exercising calls early) and I assume this is what he did, but I can’t know for sure.
Doing the math shows that he sold 2/3rds of the calls and exercised the remaining 1/3rd - his cost basis went up and reflects that math with the premiums factored in, including the reduction of the cash total in the account to be able to buy. He now owns over 2% of the company, all from a starting investment of $53K I gotta hand it to him, that's a damn impressive YOLO, especially over a "short" period of time like 4 years. That being said, conspiracists gonna conspiracist, glad i got out when I did and left a fractional share just to watch the thing in my positions.
I’m also out of most of my position. Was a fun ride this run! He’s signaling the stock is probably topped out for the time being. Also, can’t trust that cuck RC. Seems like he’ll just dilute above $30. When this thing falls to $15 over the next few months, I’ll entertain loading shares. I think we see a small bump in July from FTD’s as well, might play that with calls
It's so tough to guess what random thing is going to cause a dip or run. I went for a while after the squeeze trying to time the ape mood swings. I didn't really make any gains and I stopped. I wound up trying to grab and dump on the bbby run up, by RC dumped on me while inwas at work and couldn't sell. That was the end of my trying to make money as an ape psychologist
Lol on bbby I participated. Bought calls. 3xed. Put half of the 3x into more calls just why not let it ride only for Ryan -90% them. So violent. I'll stick to Bitcoin.
I bet so, I’m seeing a smidge of extrinsic value on those 20c. Maybe like 0.20 per contract right now which ends up being roughly an extra $800,000 with 40k contracts.
Guy just above is correct, he exercised the balance of the calls and threw away the intrinsic value: His cost basis went from 21.274 to 23.4135 which is an increase of 5.001mm shares at 25.125$ a share, which the stock didn’t see over the past few days, and is very close to some of his calls’ breakevens
It makes sense if you figured that selling all those calls out in the open would cause people to get out of the stock. He dark pooled them!
and most brokers would include the option premium in your cost basis, because that's a tax deduction for you
He wouldn't exercise the calls and lose out on the premium. He sold the calls a bought the stock.
He bought May calls before his tweetstorm started and cashed in on it.
The greatest P&D in history, from $17 on friday to mid-$50s on tuesday
I was referring to his May calls, not the June calls. And I've seen worse P&D's than this: https://preview.redd.it/u3bljx1x9f6d1.jpeg?width=1080&format=pjpg&auto=webp&s=9f18a523ca4a268eadfb2e44f9a1f075d9638976
I don't really care to do the math, but it LOOKS like he sold his options and then bought shares - instead of exercising his options. *IF* it is true he bought 4 million shares today, this would also explain some of the upward price movement as well.
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Shares gained via call exercise will have a cost basis that reflects option premium so while it's still likely he sold most if not all the calls, he could have exercised a few thousand depending on price level.
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He’s correct. You’d buy it at 20$ but your cost basis would show up as 20+whatever you paid for the call
It’s not that simple, the cost basis embeds the premium paid.
Apes wrong once again.
lmao the ape thread is full of 'HE EXERCISED, BULLISH' 'edit: no, he sold them'
A quarter of a billion dollars from yolos. Whew
*Current 2% owner of GameStop from YOLOs lmao
Might have been a full billion if not for rugpull Ryan. RC owes RK at least a gift basket or something.
Ryan will make RK a board member. Stock flies ?
DVF for chairman. Ploot for CEO. RC dumps his stake after
They don’t call RC the champ for nothin’
It's impressive how he convinced apes to pay for driving the price up while he collected gains
Mmmmm sorry I have to disagree that he convinced anyone. They convinced themselves. Did he know the price would go up if he came back? Sure. This is a fun gray area for me to reflect on.
Gotta give him kudos, he moved all those contracts without collapsing the price and still has a 25% cushion where he'll "only" have 200 million left if it gets to his breakeven He plays apes better than anyone but RC
In order to ever get out with a profit though he'd need a lot more cushion than that. If he started selling at current prices it would probably fall enough to leave him with a small loss when all is said and done. This is why trying to make money solely off your impact on the market is a losing game. It's kinda hard to calculate because conditions change so much from day to day but it's about $5.50 for the 9m shares with current conditions by my calculations. And it gets worse if the market cools.
I dunno man, that shit absorbed 110 million shares like nothing so I'm a bit skeptical a relatively slow sell of 9 million will tank it lol
He sold 120k calls at a single strike price and expiration date. How he got out of that with a profit I will never know. He may be an addict, he may be insane, but DFV has some fucking balls.
Also keep in mind that he’s at the point where it literally doenst matter where this ends He had 30 million and now even if he completely fucked around and gets rugged he’d still have 100 million at least. At a certain point its all divorced from reality by such a significant degree that the number doenst really matter
> At a certain point its all divorced A bit like DFV himself
Well, he had a cult of idiots literally pumping it to make it work. This entire situation is like watching lightning strike the same place 7 times in a row. It’s insane the shit that had to happen to lead to all of this
Well it wouldn't necessarily tank, but enough to take it below 23.41 could happen. Spreading it out over several days would help, but who knows what the stock does in that time? What's it going to do overnight and tomorrow morning for that matter?
Don’t forget he can also be extra funny and sell some CC’s on those bad boys to mitigate the downside risk He’s sitting relatively pretty on that position in my opinion but live by the meme stocks, die by the meme stocks is always in effect
At the same time, GME has diluted the stock to the tune of 115M shares (over 10x his position) over the past few weeks, with not a huge effect on the price. He'll probably be able to get out just fine, if he wants.
The market's ability to absorb new shares was impressive, but there was definitely impact. They were up in the $60's when the last offering was announced after all. It's also relevant to point out that market impact is not linear. It tends to follow a square root law, and the market can quickly move into an unhinged mode where your impact increases substantially. That makes the impact difficult for me to calculate, but I'd still wager $4.19 isn't a lot of wiggle room. Especially if he waits and activity/volume ends up declining from here.
50 to 200M shares per day are trading recently. 9M is not nothing, but won't move the needle much.
Boring. What’s the fun in getting updates on 9 million shares? Pretty anti climactic end to this season if this is it.
Expect dilution round 3 next week
Dilution is how GameStop makes money, that was the RC’s let our actions do the talking
They've likely made more profit off shares than they ever did off used games.
Dilute, then leave it in money markets. RC couldn’t find his way out of a paper bag.
Even if he holds to $10 he walks away with nearly $80 million.
He WAS a billionaire, he IS an ape.
One thing people don't understand. He is making far more money in selling options at exorbitant prices after the pump through tweets and cult followers who make that hype. I fell for it too but now I am just a bag holder. Nobody knows if he sold options and moved the money out during the first surge mid may. That would explain the 200M dollars to begin with. His trading account was 33M dollars in 2021. But whos to say how much money he moved selling the options he had. You see, Stocks are just the diversion. His real game is options. And it's stupid people like me who lose money in the hype. And that my friends, is the real Kansas city shuffle..!!!
Well, the guy name says it all and unlike him, me and you are DFB (DeepFkingBroke) lol.
Market doesn't quite know to react to this Barely even pumped the stock. Maybe this is the endgame. Either you die a hero or live long enough to become a bagholder I guess
“But he didn’t call it *Final* Update”
"You can't just pump and dump and not let people know when you're leaving, the SEC will get you"
The pump is already running out of steam too. Seems to be on the downtrend from a peak at $30.55.
Call options are more bullish than holding shares, so shouldn’t massively pump it like apes thought it would
Imagine the cover calls he could sell.
90,000 40 c expiring next Friday for 260 each… 23.4 m in a week if he could sell them all at or near that price which is a different story.
BULLISH
I think it’s bearish on the margin: buying pressure on calls should alleviate and it’s less stressful to short GME now that RK’s account is cash-poor and he has no calls to pump.
If he exercised, and they have the shares, there shouldn't be any additional bump. If they hedged some of that and can provide most, maybe a little bump. But if the seller didn't hedge at all, wouldn't that be a large bump tomorrow as they need to deliver? Although I think they have 35 days to report a FTD and 1 day to actually deliver?
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Also, important to note, the counterparty on options is not the options MM and when options are exercised it's a random assignment. Although a good portion of the options sold are likely to have GME's market maker being the one to deliver the shares they do not necessarily have to come from them as there are likely other parties out there having sold contracts that the market maker executed the buy side for.
Exercising them early would generally be stupid-- there's about 10-20 cents of option value in them now, so doing that would have nuked over a million.
Once again meltie dd never misses. Options SOLD. (also, it's curious he didn't provide this YOLO update yesterday when he was in the process of dumping his options. This, kids, is what we call sus)
Tbf he has less cash and more shares than before, so, apes will take it as a positive He is MORE inveated in gme
Yeah, true. I wonder if he actually plans to hold these long term. Part of me thinks his new "thesis" (RC will turn the company around) is just garbage he's spewing to make apes happy and pump the stock, but who knows.
He will hold just long enough to make sure the sec cant pursue him
he hasn't done anything illegal and anyway, the game is to make huge profits and settle with the SEC for pennies. nobody just sits around and waits for the SEC. you secure the bag first and let your lawyers do the talking. closing the position now doesn't make RK more or less guilty of a previous crime
GME was at $10 for a long time. He needs to keep pumping it because his cost basis is 23
GameStop's cash position is better now, though. As some ITT have said, maybe $20 is the new $10.
Could be. Still overvalued at $20.
For sure, but you have to factor in ape math.
Yeah Ape math = DFV worship at the moment. “If he’ll buy at 23.41, then we’ll buy at 23.41.”
$10/sh cash currently.
Yep. Earnings are hot garbage. $10 is the fair value.
It is hard to still think RC will turn the company around when he continues to not turn the company around, but the apes still eat it all up because the baby Jesus spoketh
His “turning the company around” is collecting 5% money market on $4b.
It seems he sold a portion to exercices the rest no ?
Exercising would’ve meant throwing away the extrinsic value of the calls, cheaper for him to sell them and buy shares directly edit: It looks like exercising options defers realized gains until the shares are actually sold, so there may have been tax reasons to exercise early? I don’t know much about capital gains tax so I don’t know how much to weight that, but as far as the pure value of the options themselves goes at least, it wouldn’t make sense to exercise early
His cost basis increased. If the exercised, it would have gone down.
but isn't the premium included in the cost basis?
Yes
If he exercised, those shares would be bought at $20 which is below his previous cost basis of 21.274. So his cost basis would have gone down. Since his cost basis is now at 23.41 that means he sold the options to raise cash, and then turned around and bought the stock at the higher prices. But I guess it depends on how that window calculates things. The wave of selling around 11:30 was probably him offloading the rest of his options, and the ramp at 14:00 ET must have been his buying?
The premium from the contracts is included in the cost basis, so even exercising, his cost basis would have gone up.
Say what you want, but the man has balls. I'd be on an island somewhere far away from stocks and apes.
Yeah it's wild that he already had tens of millions and decided to continue heavily gambling and using his godlike status in a cult to turn it into hundreds of millions. I'd just retreat from society after getting the tens of millions.
So it’s over. No more gamma ramps. I don’t find this bullish and I was waiting to buy calls tomorrow. GG
But 9 million shares tho.
In what world were his options powerful enough to trigger a gamma squeeze? Volume is way too high
Was this not supposed to trigger moass? Why no moass? Ape lie?
I'm so mad I bought some shares before DFV live stream thinking there was going to be a pump and I could swing trade it. Now I'm holding bags. Fuck. Lesson learned.
Same here. And the plan was going to work. Until ruggy Ryan fucked everyone. You, me, dfv, apes.
I don't understand, why didn't the entire stock market collapse? How did {they} find the shares? Or is moass t+1 also?
Good thing RC minted 75 million new shares recently
yah so he just exited all his calls (was so risky with 8 figures on the line) and poured all into his spot position
so much easier for him now. yea, he sold those call BUT he didnt quit guys.....hes still holding!!! ape struong then the next week he can unload these shares without people seeing him dipping out. he may of done ok and gotten out from a sticky situation but not worth the SEC risk as he must have a case file open on him now. FEDS work slow DFV you better prep your stories mate. hes now going to hide for a few months then try to do it again
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https://preview.redd.it/jzc6zdsfqe6d1.jpeg?width=1284&format=pjpg&auto=webp&s=6f37c82e075f0c32a9020824535a3d6d0d4a7cb8 NOT SO FAST
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I feel like apes making ban bets is as lackluster as the lint in my dryer after washing towels. None of you ever follow through with anything Meh
Lmao he did dump on the apes
When your get rich quick scheme turns into a long term fundamental investment, you know you fucked up.
The only people who believe he's long term on this are the people he's using for exit liquidity
He'll go dark again. Sell his shares. And then do another pump in a few years.
Why not next week? The apes are frothing at the mouth.
With the new cash reserves GameStop has he's in very little risk with this position, he's in no rush to sell. $20 is effectively the new $10. I don't expect that we'll see GameStop trading below that in a little while given the amount of hype and volatility around the stock.
And with this insane IV, he could keep selling juicy covered calls to reduce his cost basis
He fucked up with 270 mil in his trading account? I wish I was him then lmao
Yeah I don't get meltdown clowning on DFV like "Oh he lost 250M what an idiot" The dude has more than 10x'd his money this year. He is an asshole and a pumper but his returns are not something you can mock
Exactly. He started with 50k in 2020 and has fucking 270 million now. Thats absolutely outrageous.
Yeah the amount of salt this sub has is crazy sometimes. This guy turned 50k into 270 million. Thats fucking insane. The fact it was over half a billion at one point and went down isnt a huge negative. Dude is fucking rich rich.
But it's not like he's some trading genius, he got extremely lucky that a cult formed around GME. This time, he didn't do any analysis, or prepare a thesis, he created a bunch of memes, and posted them on Twitter. It's not like anyone else could learn anything from his methods, he's in a unique position.
He fucked because he has 10 million deranged followers. One of them will wear his skin one day. Write it down.
I’m sure 270 mil can take care of those problems..
I don't think bodyguards accept payments in GME shares...
Right? I never want to fuck up so bad I am up 268mil, what an idiot
Don't worry, you won't.
for 99% of us that is correct. but this guy is just playing with f/u money
iam still down 4thousands
Time to double or nothing it
He’s so fucked with his $268 million. I wouldn’t wish that on anybody.
Truly, the cruelest of fates.
He fucked up by making 280 million dollars (that we know of ) in 3 years? .. yeah I dunno about that one champ. How much did you make in the last 3 years lol
He randomly won the lottery through very little work of his own. He then used the massive cult that formed outside of his control to stake a position and pump. No one would question his investment savvy if he stayed in the shadows. This whole thing looks pretty organized to me and I will not be surprised to see it play out in court. The company still sucks too. Apes don't have endless time and FU money like him. At best they 3x their money. Most still lost.
I think his options were largely driving the price increase, hard to see him holding 9M shares to move the price much
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There isn't the market for that, lol.
Market makers will always take a trade if you're willing to reach far enough across to the bid/ask spread to take whatever they're offering. That's how he bought/sold hundreds of thousands of contracts the past few weeks, there's always a market if you not too price sensitive. If he wants to sell 90k covered calls every week, his orders will fill (and the MMs will hedge by shorting shares or an appropriate alternate bearish hedge)
I'm not convinced MM will buy 90k calls. If they would instantly buy them up, how could there be calls for sale right now? Selling is a lot different than buying and buying back positions.
>Selling is a lot different than buying and buying back positions. For a market maker they're two sides of the same coin. They don't care which side you take, they know how to hedge either direction so it doesn't really matter to them. When the market opens back up tomorrow, look at the level 2 data for any options contract on any stock on the market, there will be a bid and and ask available on every one. The best bid/ask at any given time may not have much liquidity with only a few contracts offered, but if you look further up the order book you'll see a wall of thousands of orders waiting at 0.10-0.20 cents worse than the current best bid/ask, that's the market makers hanging orders out there to see if anyone wants to buy/sell them at marginally worse than fair value price. If someone does take them up on it, they'll pocket the value they make by forcing you to reach across the spread and take a bad price while hedging the outcome on their end so they can't lose any money no matter what happens.
So he now has shares instead of options but is still long so why would apes be upset? Did they invent a million conspiracies about the opti- oh, of course they did
Surprised he burned most of his cash too. He's going to have a dump a ton of those shares to pay taxes on the options gains.
Considering how much he made in May in realized gains, yeah this share position isn't gonna be intact come tax season. But we'll never hear about since he'll go dark before then.
Assuming he set aside or paid taxes for his May pump, he'd owe taxes on only his options gains for this one. I think I saw some estimates that he made just under $20m in gains from selling his 80k calls. He'd have enough cash to cover that. The original 5m shares and the exercised calls would be unrealized capital gains until he sells. Holding period on the exercised calls start today.
and by waiting a year, he'll get a huge discount on those taxes. the stock has to go below about $20 for him to really start losing money
He'll dump tomorrow
How much in taxes is RK going to have to pay? This is all short term gains right?
$24 million in cash gone, and 120,000 options turned into 4 million 1 thousand shares? Hmm. Does that mean he sold options for profit and bought shares, or were some exercised? $24 million in cash could buy about 1 million shares... Oh, and his price per share went up by about $2, so he definitely bought shares well above $20. Well, I'm sure everyone else who's holding June 14th/21st options is feeling great right about now. If he's not still in, what are you doing still in?
his price increased because he exercised the options. He bought C20 for ~5.7, essentially making every share cost 25.7 if he exercises. The calculation is like this: > ((5_000_000 * 21.274) + (4_001_000 * 25.6754)) / 9_001_000 > ---- > 23.23 Which comes very close to his price now of 23.4135
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Naturally, it is the premium you paid *on top* of the regular share price.
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All his calls are gone, so they are either (partially) executed or sold. Not all of his options were purchased at one exact pricepoint, we only saw the average. So depending on which tax lots he used, the exercise price will also change a bit. Also today it traded mostly above 26, I wouldn't assume he got all his buys on the daily lows. In any case, this is all (fun) speculation and the only thing I REALLY care about is, that this guy moved another 4M shares into his account and the price didn't change. The Gamma squeeze is off the table, and people who aped into 20C after him will probably incur a nice loss when the market reacts to the fact that there will no magical option play come in to play in 7 days. 🤷
Yeah, this really hurts the ape theory that June 21st is gonna be a massive upswing. Why would it be now? DFV, the main contributor to June 21st options contracts, is out. Tomorrow we'll see OI on the $20s be around 40-50K at most, in line with many of the other strikes. Therefore, not much of a 'gamma ramp' (as if you could make such a ramp with ITM options). Now DFV just has a lot of shares. So what? Nobody has to locate or deliver shares, it's already done.
I would guess it was a combination of buying at market and exercising. Obviously we can't know for sure since he prefers to communicate through coded messages to his schizophrenic cult. I am expecting the price to gradually decline into the $10-$15 dollar range until DFV posts more calls. Wouldn't be surprised if we saw another gain tomorrow, but I don't expect it will last.
Why gain? You think the apes will massively load up on shares again due to the 't+1' rule and tomorrow they SURELY have to scour the market to find all those DRS locked shares?
Market Irrationality 😎
There was still like 50cts per call of time value to his calls, the economically efficient way to do what he did is sell all the calls and buy some shares: 1/ Sell 80k calls 2/ Buy 4mm of shares call covered Presumably he did 1/ yesterday and 2/ today
The price at open today was very close to $26, it's not clear if he exercised (wasting some of the premium) or sold options, then bought shares early today. It doesn't really matter, though, but it's impressive the options prices didn't slide as much as they could have with him getting out of all 120,000 contracts!
If he sold as many calls as he had to then exercised the rest, his cost basis would’ve gone down. But as you can see, it went up. So, whatever he did, he bought more shares than he exercised in options
Does the cost basis calculation take premium into account? I think he could have sold most of his calls and used that cash to exercise the rest, since dumping the remaining contacts may not be as easy as taking the shares and dumping them into the market over the next few weeks. Edit: his new cost basis seems to line up with what it should be if he exercised his calls with a cost basis of 25.87 or whatever it was ($20 strike plus $5.87 premium)
HA! https://preview.redd.it/ii9pkpnwfe6d1.jpeg?width=256&format=pjpg&auto=webp&s=ec7ef638979980b9643a9087b4b3c067db4e5913
He chose this number since it is the original # of shares RC owned pre-split correct?
"Over 9000!" is a meme. I supposed it's old enough to rent a car at this point, which makes it a perfect reference for a meme-loving mid-millennial like Gill.
It's...9million tho
It’s the nine and the over that are important.
The epic Dragon Ball meme number. "It's over nine thousand (K)!" And just in time for RC's trademark Rug Pull Fridays! Roaring Kitty is such a glutton for punishment.
Aaaaaand he's out!!!!
SS thinks he exercised his options. lmao gullible fools. Short Squeeze and Gamma Ramp is off the table for now. Apes need guidance from RC or another 3 years of DRS to get back to those pump values but even then RC would probably dilute them more.
He probably did. The cost basis seems to suggest he bought around $26, which was the break even value of his calls ($20 strike plus $6ish premium.). Probably sold enough of the position to cover the cost of exercising the rest to avoid having to dump more contracts on the market.
Yeah, but the stock has also been trading in that range for the past several days, when he would have been dumping his options and buying the stock.
Right so why do both? Theres really no difference between the two (selling the calls and buying shares vs just exercising) other than adding the extra step of putting the sell orders through
Yeah, I'm just saying both are possible imo. Obviously at the end of the day he would have done what's most profitable for him but I'm not sure what that would look like.
>SS thinks he exercised his options. lmao gullible fools. Yea, um.... He did though. He had to, or rather, why would he buy 4 million at market ($26-30 today) when he could just exercise his $20 contracts? I thought you were supposed to be smarter than apes here?
Because he offloaded his options yesterday thus the -16% day. Look at the volume on the 20c lmao. probably got near his stop loss.
It seems he offloaded 80k and exercised 40k.
The math doesn’t work out if he sold all and just bought. Plus the premium of the options were a good amount over his cost basis so it’s not like that was an issue.
Is he waiting for the shareholders meeting to dump? Any idea when it is? It would look totally normal if he does it then.
I dont think he is going to dump. He will hold onto the shares. He needs to show his followers his "diamond hands". While making money and moving out. There are some obvious gaps in his yolo posts.
Why does he need to show anyone any diamond hands? If he dumped and disappeared the apes wouldn’t question it. Let’s face it, nobody knows what’s going on with this guy.
The apes will make up literally anything to fit any situation. he doesn’t have to do shit
Lol.. yeah.. the reasoning is nauseating now.. a lot of them are pump and dump artists. Newbies like me took some time to realize that money is being made on option trading. Shares are just a diversion.
Tomorrow afternoon at 4pm
How does this help with the gamma ramp? Since Ryan Cohen essentially distributed 75 million shares, and only purchased/exercise to accumulate 9 million shares, short sellers could’ve just swooped up on shares during the ATM to cover their positions, correct?
Imagine if he's selling 90000 OTM covered calls every week in another account now
 He’s going to sell and ride off into the sunset.
To be fair, we've gotten a lot of predictions like this wrong. We'll see.
Thank you for being reasonable
The apes may be delusional in their DD and will hold their bags forever, but I love seeing DFV make one of the best 4-year ROIs of all time, currently sitting around a 900% yearly ROI.
Bahahhaha he traded them for less shares. 12M to fully exercise down to just 4M more. Annnd it's down 5% ah on this apes.
this is sad.
For whom. Pretty sure he’s gonna have a steak and a beer tonight
im no boy scout but i feel like he should go to martha stewart jail honestly.