AMC, GameStop Give Hedge Fund Mudrick Capital $200M in Gains

Re:AMC, GameStop Give Hedge Fund Mudrick Capital $200M in Gains by paulgb on Wednesday February 03, 2021 @01:12PM (#26016949)

Just because a fund’s normal MO is to buy and hold doesn’t mean they’re asleep at the wheel and won’t react if their value hypothesis is (more than) realized overnight.

(Ontario Teacher’s Pension Fund sold almost 25M shares, for example https://www.bloomberg.com/news/articles/2021-01-29/reddit-fe...)

[ Parent | on HN ]

Re:AMC, GameStop Give Hedge Fund Mudrick Capital $200M in Gains by TheTrotters on Wednesday February 03, 2021 @01:21PM (#26017093)

NB: They sold 25M shares at ~$20/share. That's probably much more than what they paid for these shares but it's nowhere near where GME was over the past few days.

[ Parent | on HN ]

Re:AMC, GameStop Give Hedge Fund Mudrick Capital $200M in Gains by cj on Wednesday February 03, 2021 @01:27PM (#26017175)

GME's 52 week low is $2.57.

Without knowing when they entered their position. It was hovering around $4 for a long time last year.

Even if they bought in at $5, selling at $20 is absolutely a win. Yes, they could have gambled and HODL'd, but there's no reason to gamble after seeing a 4x increase on a stock very few people expected would ever break $10.

[ Parent | on HN ]

Re:AMC, GameStop Give Hedge Fund Mudrick Capital $200M in Gains by dashundchen on Wednesday February 03, 2021 @01:59PM (#26017619)

Just to clarify from the article - the Ontario Pension Fund was invested and cashed out stock in a commercial real estate company called Macerich that was getting associated with Gamestop on /r/wsb, not Gamestop itself.

[ Parent | on HN ]

Re:AMC, GameStop Give Hedge Fund Mudrick Capital $200M in Gains by betterunix2 on Wednesday February 03, 2021 @02:53PM (#26018312)

Not that they had any way of knowing what would happen. $20 could have been the peak for all anyone knew, and by the end of next week selling at $20 might look like a smart move.

[ Parent | on HN ]