According to report by WSJ, $WeWork(WE)$ plans to file for bankruptcy as early as next week.
WeWork, once highly anticipated, experienced a significant decline in value (once at $47 billion) due to management issues and investor concerns.
With its business model questioned by many, will WeWork receive more funds or be acquired by big tech?
$10 bln funds vs. $10 bln debts
SoftBank invested substantial funds of over $10 bln, but WeWork's value plummeted by almost 98%.
lose 47% on the bankruptcy news
Earlier on Tuesday, the company told the US financial regulator it had agreed with creditors to temporarily postpone payments for some of its debt.
As of June this year, WeWork had 777 office locations in 39 countries, with estimated lease debts of up to $10 billion through the end of 2027.
Most-Shorted Stocks in October: Expect for Short Squeeze or Bankruptcy?
$Faraday Future Intelligent Electric Inc.(FFIE)$ $Novavax(NVAX)$ $Wheeler Real Estate Investment(WHLR)$ $Gaucho Group Holdings, Inc.(VINO)$ $Fisker Inc.(FSR)$
Will WeWork receive more funds or be acquired by big tech?
Will the most-shorted meme stocks experience short squeeze or face bankruptcy?
Which stock is oversold?
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Comments
I have never invested or follow any of the above MEME stocks. WeWork though is the infamous one. I remember reading its CEO had to agree to a golden handshake just before it was pulled out from initial listing due to lack of investor interest. Softbank needed to pump in more money to make the listing happen. However, it was already revealed that its business model was flawed and its previous founder was a fraud. Yet it had stayed afloat! I guess if you are rich, the ocean of bad money can always absorb more new money until you canโt throw any [Spurting]?!
For the rest, using TA, only Wheeler (WHLR) seems to be oversold. The rest seems to have found a little footing for now. Fisker (FSR) has even started a little rally with the rest of EV stocks.
From what i see, there is still plenty of speculative money. Who knows what these people will do? They might recycle the MEME theme again, just like how they played the cryptocurrency lately.
๐๐๐I feel sad for WeWork's employees and investors if the beleaguered company files for bankruptcy next week. We Work is drowning under such a huge massive pile of debts, that it is almost impossible to recover. Unless of course, a knight in shining armour comes to its rescue. It could be Softbank or some other venture companies.
Faraday Futures is in a similar situation. It undergone a reverse stock split of 80 to 1 in order to meet Nasdaq's minimum requirement of USD 1 per share in August. Its share price has dropped a massive 95% year todate even though it went up 4.7% today.
Faraday Futures has a new CEO, Matthias Aydt who plans to pull the company out of the deep abyss by cutting back on costs and improving sales. Whether he will succeed or not remains to be seen. If he does not, then sadly it would possibly be another company that bites the dust.
It is always a sad thing when a company files for bankruptcy but sometimes you never know, things can turnaround for the better. Let's hope things will be better for WeWork and Faraday Futures. The best thing to do is to hope for the best but prepare for the worst.
@Meme_Tiger @TigerStars @MillionaireTiger @CaptainTiger @TigerClub @Tiger_SG
Another meme stock that might suffer short squeeze or bankruptcy will be FFIE. The stock doesn't have any sign of rebound even it is oversold right now. Don't try to bet with such stocks, either you go big or you go home! The only thing that you might bet on it and have a chance of big win will probably due to its involvement in EV sectors which will be hot in the next decade. However, FFIE needs to be profitable and solve its financial issue ASAP.
@TigerStars @CaptainTiger @MillionaireTiger @TigerClub @Tiger_comments
For the rest, using TA, only Wheeler (WHLR) seems to be oversold. The rest seems to have found a little footing for now. $Fisker Inc.(FSR)$ has even started a little rally with the rest of EV stocks today (not sure if it is a good thing).
From what i see, there is still plenty of speculative money. Who knows what these people will do? They might recycle the MEME theme again, just like how they played the cryptocurrency lately.