How can a stock price drop when there are more buy orders than sell orders?
(media.patriots.win)
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Well truthfully, a buy order for 1 stock and a sell order for 10 stocks is each 1 order, but the sell of 10 stocks has 10x the effect. So it's quite easy to have more buys than sells while the price drops.
Or, if you just want the party line, they are evil and cheating and how dare they!
It’s actually less convoluted than that. They froze all buys and only allowed selling during the ladder attacks.
It’s also not a good idea to be a smartass as a handshake. You won’t last long.
This chart is from today though. Are they still freezing buys?
Not that they tell the truth, but I thought that's what the apology letter was for.
I think RH is allowing “limited” buys or some bs.
Couldn't the company release more stock as well?
Driving the number of shares up and the cost down.
Yes-ish?
Typically companies only issue stock when investing in expanding their business.
It would be pretty stupid for them to do that now. After all, it's rumored that there are a lot of fake shares floating around -- and those fake shares spell long prison sentences!
Alright.
Yes. But that's most likely not what's happening now.
Thank you!
Learning a lot.
I don't think they should, but, yeah they could depending on what they have in their treasury. Also, it wouldn't affect the float unless they filed a registration statement like an S-1 with the SEC or else the shares would be issued restricted. The unissued shares could also be locked up in indemnity or lock-up agreements and they would have to do a corporate action and go through the secretary of state and get an articles of amendment to increase their unissued share count
GameStop is rumored to have something like 20 million legit-but-unissued shares in their possession right now, which they could release at any time. If they're smart, they already sold them last week.
But do you really think there isn't Tom Fuckery about?
There may well be but that's not directly relevant to the question.