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GameStop and AMC Shares Fall in Premarket Trading

Tiger Newspress2022-06-08

GameStop and AMC Shares Fall in Premarket Trading.

Short Sellers Raise Bets against GameStop and AMC to Highest Level in a YearInvestors are once again working up the fortitude to bet against GameStop and AMC roughly 18 months after last January's infamous "meme stock" short squeeze sent GameStop shares surging more than 1,000%.

That move was so sharp that it eventually prompted Robinhood (HOOD) and other retail brokerages to restrict trading -- a decision that prompted a congressional hearing and widespread outrage among thousands of traders who were unable to close positions.

At least one hedge fund, Melvin Capital, lost billions on its bet against GameStop $(GME)$, forcing it to seek an emergency cash infusion. More than a year later, Melvin decided to wind down.

Although short interest is now nowhere near the exaggerated levels that preceded January 2021's historic rally, data from S3 Partners shows that short interest in both GameStop and AMC Entertainment Holdings Inc. $(AMC)$ is looking elevated once again, having reached its highest level in about a year. By comparison, shortly before the trading frenzy really kicked off 18 months ago , short interest in GameStop reportedly exceeded 100%, which is possible since shares can, in theory, be borrowed and sold short more than once.

The recent rise in short interest was noted in both company's earnings reports: GameStop reported its earnings for the first three months of 2022 last week, while AMC reported last month.

According to the S3 Partners data, short interest is equivalent to 23% of GameStop's float.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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Comment13

  • Teddbeh
    ·2022-06-08
    discount
    Reply
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  • Jason_LSE
    ·2022-06-08
    Up & Down is the game of these stocks..lor.. [Cool] 
    Reply
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  • Paperbot
    ·2022-06-08
    FUD
    Reply
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  • btoh
    ·2022-06-08
    K
    Reply
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    • btoh
      k
      2022-06-08
      Reply
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  • baby ape
    ·2022-06-08
    [smile] 
    Reply
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  • Jeffso
    ·2022-06-08
    Ok
    Reply
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    • Jeffso
      Ok
      2022-06-08
      Reply
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  • jayjong
    ·2022-06-08
    https://www.drsgme.org
    Reply
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  • Ah Deck
    ·2022-06-08
    Buy and sell ...
    Reply
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  • P.Dwayne
    ·2022-06-08
    Ok
    Reply
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  • Bs777
    ·2022-06-08
    Lol hahaha
    Reply
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  • Asphen
    ·2022-06-08
    I shared previously in another post that AMC runs don't last. It always come down. Everytime it runs, it is good to short it. It has to break 13.81 to make any headway upwards. And a bullish reversal can only be considered if it breaks 18 and then 20. 
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    • _dachad
      thanks for the tip.  I be looking for opptys for shorting
      2022-06-08
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  • Hcee
    ·2022-06-08
    Omg GME is going to zero. "iTs A dYiNg ReTiAL bRIck aNd MOrtAr"
    Reply
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  • JustASimpleTrader
    ·2022-06-08
    Like
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