Previously, I looked at Price/Sales ratio for GME investing all cashflow in new assets and came up with a non-MOASS "reasonable price" of $59/share. This is based on comparison to what Amazon was doing during its growth phase of re-investing all cashflow. Note that GME just added $933M in cash after sale of more shares and now has ~$2B in cash earning 5% interest per year ($100M in profit from doing nothing).
It depends on how many actual fake shares have been created and over what time period hedgefunds attempt to close their short positions with REAL acquired shares. There were likely ~1 billion fake shares in 2021 by my estimation. There are likely 4-5 billion fake shares now (based on daily selling volume price suppression). So theoretically, a month-long squeeze (MOASS) could send it temporarily over $100,000 per share which would be >$20T market cap, larger than the whole rest of the market combined. If all the hedgies are forced to cover (due to margin calls) all at once, then a $1,000,000 per share price could happen (>$200T market cap, larger than most of the world's stock markets combined).
I suspect we will see a squeeze in October (week of 10-13-24?) when many of the Big 6 likely will crash. It appears that a squeeze can be triggered by a major liquidity crisis that is likely to be generated if the Big 6 crash 50%. The Big 6 are being used as cash cows and the equity is being borrowed against (by hedge funds, banks, et. al) to continue the market manipulation (including silver and probably Bitcoin suppression).
There may be multiple squeezes (beyond October 2024) as banks and hedge funds attempt to survive by striking private deals with GameStop to get shares (this appears to have happened twice already with latest 45M share sale, $933M, rumored to be sold to UBS to help them close a short position inherited from Credit Suisse when they went bankrupt). GameStop can keep selling shares at higher and higher prices until they have enough cash to buyup the whole market (theoretically).
So reasonable price per share?
Previously, I looked at Price/Sales ratio for GME investing all cashflow in new assets and came up with a non-MOASS "reasonable price" of $59/share. This is based on comparison to what Amazon was doing during its growth phase of re-investing all cashflow. Note that GME just added $933M in cash after sale of more shares and now has ~$2B in cash earning 5% interest per year ($100M in profit from doing nothing).
Thanks a lot! What about Moass prices? I own quite a few shares but can they really be life changing prices?
It depends on how many actual fake shares have been created and over what time period hedgefunds attempt to close their short positions with REAL acquired shares. There were likely ~1 billion fake shares in 2021 by my estimation. There are likely 4-5 billion fake shares now (based on daily selling volume price suppression). So theoretically, a month-long squeeze (MOASS) could send it temporarily over $100,000 per share which would be >$20T market cap, larger than the whole rest of the market combined. If all the hedgies are forced to cover (due to margin calls) all at once, then a $1,000,000 per share price could happen (>$200T market cap, larger than most of the world's stock markets combined).
I suspect we will see a squeeze in October (week of 10-13-24?) when many of the Big 6 likely will crash. It appears that a squeeze can be triggered by a major liquidity crisis that is likely to be generated if the Big 6 crash 50%. The Big 6 are being used as cash cows and the equity is being borrowed against (by hedge funds, banks, et. al) to continue the market manipulation (including silver and probably Bitcoin suppression).
There may be multiple squeezes (beyond October 2024) as banks and hedge funds attempt to survive by striking private deals with GameStop to get shares (this appears to have happened twice already with latest 45M share sale, $933M, rumored to be sold to UBS to help them close a short position inherited from Credit Suisse when they went bankrupt). GameStop can keep selling shares at higher and higher prices until they have enough cash to buyup the whole market (theoretically).
Wow, I'd love to see you post more about this subject. Weekly, monthly updates maybe?