So I hope I’m doing this rite but I started a new thread because the old one had closed.
I just wanted to make everyone aware, BBBY hit a 500m market cap at $6.30 and is being allowed on WSB. They have been hitting it pretty hard.
One post sums it up pretty good
Options chain is pretty stacked up and Cohen’s calls expire in January. This feels like it’s going to get pretty interesting.
Keep in mind he bought those calls a while back when BBBY was trading a lot higher than it currently is.
The bear case for BBBY is they had an awful last earnings, maybe the worst earnings so far, and ousted their CEO. There’s a temporary CEO in place right now. So organizationally, the company is also a mess.
The bull case is… Retard ape strength?
My current position is a $6 covered call that expires today. So it looks like my shares will likely be called away.
For sure. I wouldn’t be looking at this as a turnaround for anything long term. I’m more interested in what’s happening at this current time. Honestly I wouldn’t have started to load into this 4 or 5 weeks ago but there is some serious buying pressure in the market rn I think we have a 3-4 week window before we continue our down trend. We may be 2 weeks into that window.
The bull case for retail is a spin off of buy buy baby.
This is obviously a gamble on a shit company and is a very high risk situation but I think there may be enough sentiment for this to do something.
Disclosure
26 aug 19 5c
I am both amazed and dumbfounded by ape retard strength
Lol, me too. I dont think its them. Its just the market rn, alot of shit is moving hard with volume. A totally different market than 4 weeks ago.
WSB and retail sentiment is skyrocketing. Will Meade flat out said its the closet set up to GME since GME. Now I know the same SI isn’t there (depending on who’s metrics you want believe) but the hype is getting very real.
Ryan Cohen has over 16,000 calls at $60, $75, and $80. BBBY hasn’t been anywhere close to those strikes in 7 years with a closing high of $35 in January 2021 since 2015.
Now do I think it’ll take off like GME? No, I don’t think it’ll come close to triple digits. The SI just isn’t there and GME had 100%+ for months and months before it took off. But a decent run is almost certain if you look at the current retail sentiment.
I’m all in.
On Friday I picked up , Jan23’ $60 Calls 5@0.75 as a bit of fun, I agree a lot of sentiment seems to be building on the socials about it since then.
IBKR showing they extended the weekly chain all the way to 26.
What does that mean?
I know this is mostly a retail momentum play, but people could roll ITM calls into OTM calls leading to MMs being able to sell some of their hedged shares.
The 8/12 10c was hit pretty hard today over all but at that jump around 2. Roughly 6k volume over 15-20 min.
it’s interesting to me that they hit the ATM so hard today. Almost feels like they are trying to force a gamma ramp. We’ll see what happens with the OI in the morning.
Rolling some 8/19 8ps here. Thinking there should be a pullback early next week, I will not keep these past Wed.
So, this is fun!
I think the momentum is going to continue and I think there will be a few weeks to make some money.
I’ve entered the 15’s up until the middle of Sept with a few extras for next week. I kinda expect WSB to blow up again this weekend and to have more FOMO Monday where I can exit the short DTE’s and a pull back mid week to avg up/down on the later expirations. We’ll see how it plays out.
I wanted to expand this convo a little more about this becoming an actual squeeze and i would like some feedback from you guys.
Looking at this, BBBY had an SI of roughly 30m shares. On Monday it got some pretty serious volume at 124m, the 4 following days volume was in the range of 35-80m. What happened today just put anyone who entered a short position in the last week under water. The key here is the volume.
Looking at a little data from Stocksera we can see the short volume in the last 6 trading days was extensive. With a closing price today of $12.91, anyone who held their short position is quickly in the hole.
I would like to see this thing pull up hard with volume Monday into the 17’s and makes a floor mid week around the 13.5 area, then continues to move up and close at or above Monday’s high with a little gamma ramp.
We got to see a nice gamma ramp today
With next week being monthlies i expect there to be a little more volume but we’ll see how the OI builds.
Last thought is, im try to look at this like something that is going to play out over a few weeks. i dont think its going to pop off completely next week, i think it needs to build some pressure and it has everyones attention now, but shit has popped off like crazy in the last few weeks so maybe this will too. I always felt like real squeezes take some time to build up the pressure. One side has to continue to double down and continue to get destroyed. Shits rare and i never thought id see this again but the setup is looking better and better.
I don’t get how he has those strike positions? Is he buying them at such small prices like .05 that he’s hoping to 4x-5x his profits from the small price movements of those strikes? Basically selling them for .2 to .25? I wonder why not just buy closer to ATM…
Not sure what he paid for them but they were definitely cheap. Quite possibly .05 but even at .25 dude who’s worth over $2 billion paid for $400k for that position. $80k if it is .05. So even if he was just playing for % increase on movement, it kinda seems like peanuts to what he’s worth. If he was expecting a smaller run, closer to strike calls would definitely make more sense. There’s just no reason for being that far OTM, unless he believes they go ITM or close though to yield some huge gains.
Or…his position cost peanuts to him, and it’s just a fun lotto ticket. Which seems more likely in all honesty.
But I’m still feeling bullish on this. Not $60+ but maybe $20.
I saw support at the $10.50 area Thursday night, and bought ITM calls Friday morning hoping for more buying pressure and for shorts to start covering according to the short interest bot command.
Just needs to keep closing higher for the play to stay alive.
Also holding some positions here.
I had Sept 16, 10c at 0.6, sold almost all between 2 and 4. Now rentered with Nov calls at 15 and 20.
