$GameStop(GME)$If you’re wondering if you should cut and run. Maybe that might be agood idea especially if you personally don’t believe the company has the capacity to turn their business around.

After the shorts were covered the risk moved from Hedge funds to the retail investor.

Here’s a little something for illustration : Mr. A finds a company worth $5 and convinces Mr. B to pay $100 for it. Mr. A profits $95 and happily goes home.

Mr. B then convinced Mr. C that this company is worth $300. Mr. C buys it and Mr B. happily goes home with a profit of $200.

Mr. C tries to find a friend to sell the company to but no one wants to buy it. He then approaches Mr. A who says he will only pay what it’s worth of $5. He then approaches Mr. B who says he also won’t pay more than $5 as that’s what the company is worth.

Mr. C has realised he has overpaid $295 for the company whose dividends may not even make up 1% of the quantum. (Hey isn’t $295 was the combined profit of $95 and $200 made by A and B?) [可怜]