Table of Contents
Why is Melvin capital being targeted?
Melvin Capital Management had been betting against GameStop Corp. The action in GameStop was fueled partly by an army of bullish individual traders urging one another on platforms like Reddit to buy shares and options and squeeze Melvin, a particular target of posters.
Is Melvin capital out of GameStop?
Melvin Capital closed out of its GameStop short position on January 27, and ended the month with $8 billion in assets under management, compared to the $12.5 billion it started the year with.
Did Melvin really cover shorts?
Melvin had already acknowledged covering its GameStop short, following a short squeeze tied to a Reddit forum called WallStreetBets, whose members included retail investors in the video game retailer. As a result, total firm assets were approximately $8.26 billion as of February 1, according to the investor letter.
How much did Melvin Capital loose?
Melvin Capital Among Hedge Funds Losing $6 Billion On Latest Meme Squeeze. Hedge fund losses just from betting against five popular meme stocks…
Why is GME stock rising?
GME Stock Is Rising Because ConstitutionDAO Lost Its Bid… to Ken Griffin. Retail investors are capping the week off with some bad news. It seems the response to Griffin’s purchase is an influx of interest in GameStop (NYSE:GME), and GME stock is on the rise as a result.
Why did Reddit users buy GameStop?
But the main reason behind the interest in the company is because it was the most heavily shorted stock on Wall Street. About 71.66 million GameStop shares have been shorted, worth about $4.66 billion. This is where the very popular ‘wallstreetbets’ came into the picture.
Did Melvin Capital really close?
All of Its Public Short. Positions in the First Quarter. Gabe Plotkin’s firm sold puts in 16 stocks including GSX and Viacom, which ended up victims of the Archegos liquidation in late March.
How much did Melvin lose on GameStop?
Melvin was famously short GameStop and lost more than 50 percent during January following a short squeeze orchestrated by a Reddit forum called WallStreetBets, whose members included retail investors in GameStop.