At this point, everyone has heard about the pandemonium caused by the subreddit r/WallStreetBets. In summary, reddit users banded together to buy GameStop stock, causing the price to skyrocket and losing WallStreet billions. In turn, this led to restrictions on trading that infuriated many and amazingly had AOC and Ted Cruz on the same side of an argument (much to AOC’s dismay).
But what’s happening now? It seems that the subreddit is not nearly as unified as it was when accomplishing this historical feat. Recent posts in r/WallStreetBets show conflicting viewpoints.
User u/zemora earned over 70,000 upvotes from a meme expressing sadness and regret caused by their decision to hold GameStop stock. The video demonstrates that the user bought the stock at $300 per share. In response to the question “what is the price right now?”, the video just shows a young child crying, unable to speak. Today, the price of GME stock is just about $50.
Others are happy to be holding and continue to have confidence in the company. User u/eblozavr322 posted a beginner’s guide for “GME Gang newcomers” today on February 10, aggressively asserting that GME stock is undervalued. They cite the participation of Ryan Cohen as the main reason they believe GameStop will make a comeback. Cohen is co-founder of a dog food brand called Chewy which was acquired by PetSmart who is bringing his connections and experience to GameStop.
In my personal opinion, r/WallStreetBets will have to become reunified if they want to replicate their extreme impact on the stock market that they achieved with GameStop. I’m not sure this is possible. You tend to think that these things are once in a lifetime, but the connection and globalization brought about with the internet opens up new possibilities that were unthinkable in the paper-and-pencil type world of the past.