Read this on reddit - is that true? AMC issued 360 million new shares, tripled the float size and sold the new shares to hedge funds? Jeez. Be careful lads. That’s not gonna squeeze and has got to be a play that will come to an end soon.
//——-
AMC: 160M with 36% shorted in December -> 513M now
GME: 65M with 140% shorted in December -> 75M now(after the latest dilution)
They are two completely different situations. With AMC, the dilution could’ve easily killed the squeeze with a 200%+ dilution. With GME, it’s only 15% dilution on a stock that’s shorted 140%(haha yea right).
AMC is selling directly to hedgies and at below market prices, so AMC apes can’t even buy if they wanted to. GME is selling in the open market at market prices, giving us a chance to soak up their offering at discount.
Sources:
AMC outstanding share history: https://ycharts.com/companies/AMC/shares_outstanding
GME outstanding share history: https://ycharts.com/companies/GME/shares_outstanding
AMC selling to HFs at below market prices: https://news.yahoo.com/amc-collects-250-million-giving-214224458.html , https://www.wsj.com/articles/amc-shares-soar-after-company-raises-230-million-in-stock-sale-11622571307
