I Poured Over Every Counter Opinion I Could Find About GME. I Have Proven Each of Them Wrong: A Counter Counter DD

Possible DD 👨‍🔬

None of This is Financial Advice. This is purely me entertaining myself during lunch.

Hey Fellow Smooth Brains. u /rimmy789 here. I am many things. The largest among them is skeptical. With this in mind, it stands to reason that when I heard about this rocket ship in December, I was standoffish about diving straight in. There was so much that I did not understand and so much push back. Slowly, as I digested the DD here, I was convinced and became a triple digit, share holding, Ape.  With that being said, recently there has been an awful amount of FUD taking place and some folks falling prey to the same talking points that have existed since the beginning. In light of the recent challenge to post counter DD, I took a chunk out of my weekend to read every counter DD that I could find, watch every negative video, talk to every person I know that cared about stocks in anyway and worked to understand their perspective.

In doing so, I also was able to disprove every claim.

Welcome To My Counter Counter DD

Let’s break it down.

The Arguments That I Came Across

“Apes buying inflated the price, not the shorting.”

The idea that this counter point exists exposes a much darker question.

“Who has the right to set the value of a stock?”

The laws of supply and demand dictate that the more demand there is, the higher priced the supply can be. If that price becomes inflated, it’s not sustainable, and will at some point fail. I’ve been here since December and, despite the tomfoolery happening, this stock has gone from 4 dollars to 140 as of today. We know that it will go higher because of all of the shorting shenanigans but we’ll get there in a second. The point is that this climb in stock price has been sustainable and deliberate.

Speaking of supply and demand!

If that’s the rule we’re going say is law, then the stock itself could be worthless, but if people keep buying it in larger volumes, then the price should go up regardless of the opinion of its value. So yea, apes buying would raise the price. That’s how this works. The unacceptable end of this spectrum is what the hedge funds were doing before this started. They were intentionally shorting a company into the ground for financial gain. Ironically, their market manipulation has led us to the current climate.

It is their overly zealous shorting tactics that will cause the price to soar.

“This whole thing is stupid because it relies on reckless investing practices and most people on reddit lack diversity in their portfolio. Investing in GME is just high stakes, emotional, gambling.”

To be fair, so is the rest of the stock market. Investing is, and has always been, the act of willfully taking on risks for the chances of a reward. The difference between that and gambling isn’t a whole lot more than the bureaucracy involved. The risk calculated in the decision to invest or not to invest in GME is a personal one. There has been some amazing DD that’s purpose was not to persuade but to inform. If after that information an investor, experienced or otherwise, decides to invest, that is their decision and theirs’s alone. A lack of diversity in one’s portfolio is not a detriment to the value (or projected value) of an investment in a company. The same is with the emotional component of this feedback. One’s emotions can interfere with their decision making, but has nothing to do with how well the stock will do.

“Those apes haven’t done and due diligence. They are ill informed and lacking in research compared to ‘real’ investors.”

This is an entire sub dedicated to working through the new laws, legislation, and minute by minute updates.

I’ll leave my favorite post about this here.

https://www.reddit.com/r/Superstonk/comments/moqtwf/the_greatest_lie_ever_told_by_wall_street_and_why/

-Wealth Doesn’t Happen Overnight, therefore GME won’t moon.

You’re right. This has been brewing for months. This isn’t a new fad or trend. There have been diligent investors and researchers that have pulled the numbers for each and every single one of my points. Don’t be intimidated to try and digest some of it. Apes are nice. We’ll help you understand the bits that you don’t. This subreddit isn’t going to do that to convince you to buy, it’s to give you all of the information needed to make an informed decision. As for the actual evidence of the stock moving, zoom out on the stock price for GME. It’s been steadily growing.

“The Squeeze already happened!”

All Shorts Must be Covered. Full stop. We know there has been instances of naked shorting and overshooting. When those shares get recalled, regardless of any other peak, all stocks available will be needed to cover. This is where this subreddit believes that individual investors holding will “set the price”. There must be stocks sold in order for them to buy. If retail holds, the price climbs until it hits the desired floor.

Finally, these last two points go hand and hand in their answers.

” It’s going to Crash The Economy!!” “It is morally wrong for Retail Investors to Manipulate the market.”

None of these ideas have anything to do with the science, numbers, or data behind the stock. Each of these counter DD points has more to do with the emotional or moral implications of the MOASS. The opinions that every single counter DD has are faulty because they are operating under the learned assumption that GME is a normal stock that follows normal market trends. They would be right to think this if this entire saga wasn’t happening in a vacuum. If it was just a matter of the worth of GameStop as a company, then they may have a point. What these opinions don’t have in mind are the over shorting, the naked shorting, the market manipulation, and the alleged securities fraud that has been running amuck.

As for the moral implications, it is important to remember this one thing:

The burden of morality has always been shouldered by the disadvantaged.

The only time questions of morality came up in the counter DD’s that I saw was the idea that the MOASS would wreck the economy, wipe out 401ks, and send us back to a 2008 like recession. The blame for this was always attributed to the retail investors.

Let me be very, very clear about this.

Should that happen, it will not be the fault of retail investors.

The only thing that retail investors are guilty of is being unbelievably stubborn. Individual investors saw the trend, complied the data, and made an educated decision to risk with their own funds to buy a stock that they believed in.

At no point has the public ever demanded that hedge funds or large brokerages demonstrate some type of emotional loyalty towards the stocks, contracts, or options that they invest in. They have never been expected to shoulder the entire burden of the economic consequences of their actions.

The only reason the retail investors are being expected to do this is because of the emotional reaction to a once in a lifetime event that is hard to understand if you cant comprehend that none of this is normal.

So.

TL;DR

The crux of the issue is not whether or not there will be a squeeze. All shorts must cover. Full stop. They can buy on the dark side if they’d like, they can continue to suffocate current stock prices, but when that margin gets called and all the shares have to come home, we will see that the emperor has no clothes. The problem is the idea that GameStop is being measured against typical trends.

GME is not a regular stock. GME is not bending to normal trends.

The truth is plain and simple. If the only thing retail investors need to do is buy and hold. The question is not if, it is when and how high.