By now most investors have heard of GameStop and the Epic Short squeeze they pulled off, resulting in several million dollars of profits for smaller retail investors. And billions of dollars of profit made by larger hedge funds, who smelled the blood of one of their own in the water, and didn’t hesitate to capitalize. After all it’s just business, nothing personal.
LOL
It is in American and possibly other countries a household name, in gaming households. And even though it’s easy to buy digital versions of games, it’s really fun to hold the disc in your hand. Plus you can buy cool used video games, gaming console or gaming computer accessories and experience the social thrill and interaction of being with, talking to and enjoying the milleu of other gamers there.
I then watched Roaring Kitty give his testimony during the US Congressional hears and I started to feel there may be a chance at a turn around. After all gaming is a 156 billion dollar industry and GameStop actually had revenues close to 1 billion dollars 214-2017. So survival is probably, but success is possible.
If I invested in GameStop I could buy it’s stock and hold. Diamond hands being the new phrase. Or I could go long with long expiration options. This would allow me a cheaper route to hold significant numbers of shares much cheaper, thus boost my potential profit. This is surely a risky play, and buying options adds risk, especially if your new. But we clearly saw options trades making large profits on short term call options on the way up and short
term puts on the way down. So making money on Leaps has definite potential.
@shortsegmentsThese are not buying recommendations, just education. Do your own research and never invest more then you can afford to lose.
