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A comment on Gaming the system: How GameStop stock surged. Parent comment

Re:Gaming the system: How GameStop stock surged by toast0 on Tuesday January 19, 2021 @03:47PM (#25838666)
Everybody hates shorts, but if you can sell for $40ish today vs $5 6 months ago and $20 last week, and you need/would like some cash, and you have a shelf offering ready to go, why not sell today?

If the price goes up to $80ish next week, then maybe issue some more shares to sell at that price too.

[ Parent | on HN ]
Re:Gaming the system: How GameStop stock surged by 3001 on Tuesday January 19, 2021 @03:54PM (#25838756)
Continuously issuing shares leads to dilution(https://en.wikipedia.org/wiki/Stock_dilution). This has a ramifications for board members like Ryan Cohen who wants to change the company trajectory and also tend to have a downward effect on the share price.
[ Parent | on HN ]
Re:Gaming the system: How GameStop stock surged by patleeman on Tuesday January 19, 2021 @09:09PM (#25841744)
RC also bought his 13% stake on his own. Why would he agree to dilute his own shares when GME has cash in the bank and doesn't need to raise?
[ Parent | on HN ]