Category: Stock Investing (Page 1 of 31)

Free Live Daily Updates: AMC Short Interest Today + More

AMC Short Interest Today

Free Live Daily Updates: AMC Short Interest Today + More.

Community, I’m going to be updating this list of momentum stock and their short interest and utilization daily (AMC short interest, BBIG, MULN, BIOR, GME, APE, and many others).

Be sure to bookmark this page for daily AMC short interest updates and more.

Other metrics being updated daily will include the cost to borrow, shares on loan, + short squeeze scores.

If there are other heavily shorted stocks you’d like me to update daily, please leave a comment below and I’ll be sure to look into them before adding them to the list!

– Frank Nez

Franknez.com

#1. MMAT Short Interest

Short Interest: 10.49% | Utilization: 79.69 | Cost To Borrow: 20.58 | Shares On Loan: 39.31 Million | Days To Cover: 7.35

MMAT Short Squeeze Score: 83

(Updated Daily)

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#2. AMC Short Interest Today

Short Interest: 12.48% | Utilization: 59.46 | Cost To Borrow: 6.34 | Shares On Loan: 25.93 Million | Days To Cover: 1.96

AMC Short Squeeze Score: 68

(Updated Daily)

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#3. GME Short Interest

Short Interest: 19.83% | Utilization: 85.43 | Cost To Borrow: 3.62 | Shares On Loan: 74.17 Million | Days To Cover: 26.42

(Updated Daily)

GME Short Squeeze Score: 86

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#4. MULN SI

Short Interest: 20.21% | Utilization: 83.19 | Cost To Borrow: 30.12 | Shares On Loan: 81.54 million | Days To Cover: 1.29

(Updated Daily)

MULN Short Squeeze Score: 79

Click the image to read the latest MULN stock news aritlce.

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#5. LCID SI

Short Interest: 26.41% | Utilization: 93.70 | Cost To Borrow: 2.36 | Shares On Loan: 321.76 Million | Days To Cover: 7.48

(Updated Daily)

LCID Short Squeeze Score: 77

Daily Market News

FrankNez - Daily Market News and stock updates.
FrankNez – Daily Market News and stock updates.

For more stock market, business news and updates, join the newsletter to receive weekly market news and notifications straight to your inbox.

Franknez.com is the media blog that keeps retail investors informed.

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Related: This is What’s Stopping AMC From Squeezing Today



More Than 50% of AMC Stock is Now Trading Off Exchange This Month

Market News Daily - More Than 50% of AMC Stock is Now Trading Off Exchange This Month.
Market News Daily – More Than 50% of AMC Stock is Now Trading Off Exchange This Month.

The latest dark pool and off exchange data shows that more than 50% of AMC stock is currently trading off exchange this month already.

According to Chart Exchange, AMC Entertainment’s (NYSE:AMC) trading volume in off exchanges is currently between 50% and 59%.

On Tuesday, off exchange volume peaked at 59.47%.

Wednesday saw 56% volume happening outside the lit exchange.

At the time of this publication, AMC stock is trading at $8.21 post reverse split.

Is off exchange trading suppressing AMC’s true demand from retail investors?

The possibility is rather likely.

Gary Gensler announced last year that 90%-95% of retail orders do not go through the lit exchange.

We The Investors asked the SEC Chairman if dark pools suppressed the price of stock and whether retail investors could influence the price of a stock if majority of orders traded in the lit exchange.

While there was no direct answer to the suppression of price, the Chairman says that with so much trading happening off-exchange, he doesn’t think it’s a leveled playing field as “dark pools give institutions an unfair advantage.”

“Retail investors as individuals don’t have the power to move the markets, but retail orders combined could have significant price impact.”

AMC stock is currently down more than -76% this year-to-date and down more than -88% in the past year.

Also Read: AMC Will Now Sell Shares to Raise Money

What Are Dark Pools?

Market News Daily - More Than 50% of AMC Stock is Now Trading Off Exchange This Month.
Market News Daily – More Than 50% of AMC Stock is Now Trading Off Exchange This Month.

Dark pools are privately organized platforms, also known to be an alternative trading system accessible to only institutions.

Dark pool trading, or off-exchange trading has risen substantially since Gary Gensler was appointed Chair of the Securities and Exchange Commission (SEC) in April of 2021 by President Joe Biden.

But SEC Chairman and Commissioner Gary Gensler says payment for order flow is partly the reason why orders aren’t processed on the lit exchange.

He says retail orders go to wholesalers on an order-by-order competition.

Citadel’s Ken Griffin has praised PFOF stating it’s good for retail investors; however, in 2004 Citadel stated payment for order flow “creates conflicts of interest and should be banned, according to an SEC file.

PFOF allows market makers to process retails orders in the ‘dark markets’, or dark pools, per SEC Chairman Gary Gensler.

See, the thing is that the SEC actually has the power to ban dark pool trading.

Why dark pool trading has risen since Gary Gensler took office is something the retail community is trying to comprehend.

When more than 50% of a stock’s trading volume goes to dark pools, the demand is cut by 50%, often times more depending on the trading day.

Half (or more) of retail’s money is not being reflected per the real demand of a security when trading has been rerouted to dark pools.

In other words, dark pools seem to allow institutions to suppress shares from rising based on the true demand of a security.

Then of course there are other means of driving shares down such as through spoofing, naked short selling, and short and distort campaigns.

But I’d love to hear your thoughts on this – leave a comment down below.

Market News Published Daily 📰

Market News Today - More Than 50% of AMC Stock is Now Trading Off Exchange This Month.
Market News Today – More Than 50% of AMC Stock is Now Trading Off Exchange This Month.

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“The Game is Rigged”, Says Ex-Citadel Data Scientist

Ex-Citadel employee Patrick McConlogue says the market is rigged.
Market News Daily: Ex-Citadel employee Patrick McConlogue says the market is rigged.

Patrick McConlogue, an ex-Citadel Data Scientist said during the ‘meme stock’ frenzy that the stock market is rigged, claiming he helped design it.

“The game is not fair and it never has been. Individual investors, even when operating in a swarm, are destined to lose. How do I know? I helped design the game.”

Not many investors know this, but Patrick actually breaks down how Citadel and other hedge funds were able to make billions back in only weeks from halts.

In this article, I’m going to share his words and knowledge in the industry directly with you.

Share this article to raise awareness of the market injustices ‘experts’ have claimed were never true.

Your voice matters.

Let’s get started.

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Ex-Citadel Employee Reveals Rigged Trading Game

Ex-Citadel employee Patrick McConlogue says the market is rigged.

Patrick McConlogue appeared on Fox Business during the ‘meme stock’ frenzy of 2021 when retail investors created one of the biggest scares in Wall Street history.

GameStop and AMC shareholders were able to create panic on Wall Street by heavily buying shares of the overleveraged shorted stocks.

As share prices soared, short sellers experienced massive losses.

GameStop was able to put Melvin Capital out of business, but Patrick McConlogue says other hedge funds were able to make back billions in losses during the halt.

The halts allowed hedge funds to enter AMC and GameStop knowing shares would plummet, allowing them to capitalize on the deflation of the price.

Patrick says the rules of the game also heavily favor hedge funds, something retail investors have urged SEC Chairman Gary Gensler for years to change.

“I respect many of my colleagues, the problem isn’t the people, it’s the rules of the game which heavily favor the funds.”

Below is ex-Citadel Data Scientist Patrick McConlogue’s story.

AMC Stock: The SEC Has Now Violated Threshold Rule

Patrick McConlogue Says the Stock Market is Rigged

Ex-Citadel employee Patrick McConlogue says the market is rigged.
Ex-Citadel employee Patrick McConlogue says the market is rigged.

“The game is not fair and it never has been. Individual investors, even when operating in a swarm, are destined to lose.

How do I know? I helped design the game.

A few years ago, I worked at the massive hedge fund Citadel. The multi-billion dollar fund was caught up in this week’s scandal for bailing out hedge fund Melvin Capital after everyday traders on Robinhood appeared close to liquidating the fund through mass buying of the GameStop stock $GME.

My role at Citadel was as an engineer in Long Term Quantitative Strategies. The entire department, filled with programmers and compliance officers, is dedicated to something called ‘alpha’ which determines the buying strategy of the fund.

I was responsible for innovative proprietary technology that capitalizes on public data faster than any other hedge fund. It’s a classic situation of machines against humans. I respect many of my colleagues, the problem isn’t the people, it’s the rules of the game which heavily favor the funds.

A group of traders on the r/WallStreetBets Reddit thread, now consisting of over 8.6M members, noticed that someone had overly “shorted” the GameStop $GME stock.

They decided it was the perfect time to buy. It was only around $18 per share and easily affordable for the common investor who kept buying, driving up the price of the stock.

As the buying frenzy continued the hedge funds who had taken the opposite position started to hemorrhage money.. BIG money.

The small investors celebrated their success online as news broke that the hedge fund Melvin Capital Management had lost so much on the $GME short position that they had to be bailed out by bigger hedge funds.

While the markets were closed Melvin Capital’s sinking battleship received an emergency infusion of $2.75 billion from Citadel and Point72.”

‘Meme Stock’ Halts

Ex-Citadel employee Patrick McConlogue says the market is rigged.

“On Thursday morning, Robinhood — the commission-free stock trading app used by small investors — suddenly shut down buys on $GME and a few other stocks that were under siege.

Only sell orders went through, reversing the trend, driving the stock prices back down and shoring up the hedge funds’ sinking ships. Remember, when the stock price goes down, the people who hold the “shorts” make money.

This started a chain reaction. Other retail trading platforms like E*Trade and TD AmeriTrade began freezing the stock for individual investors. But hedge funds own supercomputers.

They have direct access to stock markets. While small investors were frozen the hedge funds traded massive positions and quickly earned back the billions in losses from the past few days.

The rules of the game had been exposed, in broad daylight no less.

Robinhood users, when signing up for the popular trading app that offered “free trading” were likely unaware of their role in the hedge funds’ ability to reap huge profits.

The system is broken.”

Patrick McConlogue left Citadel for decentralized finance and co-founded a new technology called Overline that takes the philosophy of DeFi to the extreme.

Not only is Overline unable to freeze any of your assets but it can’t even turn off the exchange; it’s not possible.

You can read Patrick’s full write-up here.

Related: Ken Griffin Thanks Redditors for ‘Meme Stocks’

Market News Published Daily

Market News Today - Ex-Citadel data scientist says the market is rigged.
Market News Today – Ex-Citadel Data Scientist says the market is rigged.

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AMC Is Now Hit With a New Class Action Lawsuit

Market News Daily - AMC Is Now Hit With a New Class Action Lawsuit.
Market News Daily – AMC Is Now Hit With a New Class Action Lawsuit.

AMC Entertainment (NYSE:AMC) has now been hit with a new class action lawsuit following its approved settlement after months of dealing with litigation.

CNBC reports that a holder of APEs said in the lawsuit, which was filed late on Monday but hit the public docket on Tuesday, that APEs investors are being shortchanged in the settlement that was approved on Friday.

AMC did not respond to a request for comment.

AMC agreed to settle its previous class action by holders of common stock by providing them with additional shares worth an estimated $129 million.

The company’s reverse stock split is scheduled to go into effect on Thursday, August 24.

The conversion of APE shares into AMC common stock will occur the following day, Friday August 25.

And the litigation settlement will then take place on Monday, August 28.

Shareholders of common AMC stock had initially claimed that the company rigged a shareholder vote against them.

“The lawsuit adds to months of legal turmoil for the company. Objections to shareholder class action settlements are rare, but AMC received thousands from investors who questioned claims about the company’s dire finances.

The settlement was initially rejected by a Court of Chancery judge in July before the judge signed off on a revised deal on Friday,” said CNBC.

AMC stock has fallen more than -3% on Wednesday while APE shares have only risen +0.25%.

Despite a new AMC class action lawsuit, hedge fund CEO Bruce Richards now says he’s ‘super bullish’ on AMC’s new APE conversion as the proposed rule is expected to go into effect next Thursday.

[stock_market_widget type=”chart” template=”basic” color=”#5679FF” assets=”AMC” range=”1mo” interval=”1d” axes=”true” cursor=”true” range_selector=”true” display_currency_symbol=”true” api=”yf”]

Hedge Fund CEO Now Says He’s Super Bullish on New APE Conversion

Market News Daily - AMC Is Now Hit With a New Class Action Lawsuit.
Market News Daily – AMC Is Now Hit With a New Class Action Lawsuit.

Bruce Richards is the CEO of Marathon Asset Management, which manages a family of investment programs focused on credit strategies including hedge funds, managed accounts, single-client funds and collateralized loan, and debt obligation vehicles.

Richards is rather enthusiastic about AMC Entertainment’s ability to raise as much as $8 billion, though he states his team thinks $1 billion to $2 billion is more realistic.

“I wouldn’t worry about the writers strike, and the box office numbers look like record numbers to us, and greater than pre-covid number, in terms of revenue, so, we’re super bullish, but think about that,” he told Squawk on Tuesday.

“We can make a +17% return, +10% on the cash, and the +25% price pop on price, and we can make this return, we think it’s a high tang return for taking senior bank debt risk in a very top of capital structure of AMC. We think the smartest play for AMC is actually buying the bank debt which is going to parr, which is offering these staggering returns for the unit of risk that you’re taking.

Richards says that AMC is great company and joked that he tried to get in to see Barbie and Oppenheimer but that he was turned away at the door twice due to tickets being sold out.

“I will go before the summer is over, I promise”, he stated.

Richards’ optimism certainly brings forth an excitement that hasn’t been seen in quite some time.

Will this APE conversion trigger an AMC short squeeze? I’m curious to know what you think.

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Market News Today - AMC Is Now Hit With a New Class Action Lawsuit.
Market News Today – AMC Is Now Hit With a New Class Action Lawsuit.

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Mullen Is Now Introducing The New Mullen FIVE RS

Market News Daily - Mullen Is Now Introducing The New Mullen FIVE RS.
Market News Daily – Mullen Is Now Introducing The New Mullen FIVE RS.

Mullen Automotive (NASDAQ:MULN) is now introducing the new Mullen FIVE RS, an EV sports crossover which will be featured at this month’s “Strikingly Different” EV Tour on August 20, in Austin, Texas.

The FIVE RS is equipped with 800-volt architecture, all-wheel drive, a two-speed gearbox, and over 1,100 horsepower!

According to the company, the Mullen FIVE RS is an ultra-high-performance EV featuring a top speed of 200 mph and acceleration from 0-60 mph in under 2 seconds.

Equipped with 800-volt architecture, all-wheel drive, a two-speed gearbox, and over 1,100 horsepower, the vehicle has a performance-oriented suspension and massive 325/35R21 front and rear tires.

Specifically developed brakes provide quick stopping for the RS, which is fully race prepped to allow occupants to experience max-performance potential.

“I want to encourage shareholders to continue sharing thoughts and opinions with Mullen, and remember we are working together to achieve great things, including pushing the boundaries of EV performance and electrifying the world,” said David Michery, CEO and chairman of Mullen Automotive.

Due to the high-powered capabilities of the FIVE RS, consumers will not be allowed to test drive the vehicle directly.

Instead, Mullen will offer consumers the opportunity to ride in the Mullen FIVE RS alongside a professional race car driver, providing an up-close and personal experience in one of the fastest vehicles available globally.

Mullen will offer “front row” FIVE reservation holders the first chance to experience the Mullen FIVE RS in person on the “Strikingly Different” U.S. test drive tour.

More details on the upcoming tour can be accessed here.

On Wednesday, shares of the stock have fallen more than -3% putting pricing below Nasdaq’s $1 bid requirement.

Will MULN stock be able to remain in compliance long enough before it gets shorted back down again?

Mullen CEO Speaks on New Reverse Split and Short Sellers

Market News Daily - Mullen Is Now Introducing The New Mullen FIVE RS.
Market News Daily – Mullen Is Now Introducing The New Mullen FIVE RS.

Mullen Automotive CEO David Michery speaks on the company’s new reverse stock split as well as short sellers.

On August 8, the company announced a 1 for 9 reverse stock split alongside the beginning of a $25 million stock buyback program.

“We believe the Company is highly undervalued and the stock buyback program represents a compelling use of our capital, reflecting confidence in our business,” said David Michery, CEO and chairman of Mullen Automotive.

The proposal received 221,098,224 ‘votes for’ a reverse stock split, and 103,280,513 ‘votes against’ it, with 1,415,758 abstentions.

A 1 for 9 split would put MULN stock at just $1, which investors criticize leaves no wiggle room as the company continues to be a target for short sellers.

A user on Twitter shared a message between him and the CEO where he made the following statement:

“At this point, we’ve done the minimum reverse possible to try to regain compliance.

The rest will be in the retail, shareholders hands, if the stock stays above a buck or doesn’t.

At this point, we put our faith in the shareholders and retail traders.

All the good people need to rally against the individuals that are shorting the stock with malice intent, not to make money, but to cause delisting, that’s what they are doing.”

Mullen Automotive announced in July that it has been investigating naked short selling activity since April of this year.

How far this investigation will go is unknown, especially now that Congress has stated that not all naked shorting is deemed ‘illegal’.

Just last week, the New York Stock Exchange (NYSE) also commented on naked short selling in a new response to the concerned public.

[stock_market_widget type=”chart” template=”basic” color=”#5679FF” assets=”MULN” range=”1mo” interval=”1d” axes=”true” cursor=”true” range_selector=”true” display_currency_symbol=”true” api=”yf”]

Market News Published Daily 📰

Market News Today - Mullen Is Now Introducing The New Mullen FIVE RS.
Market News Today – Mullen Is Now Introducing The New Mullen FIVE RS.

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New Report: AMC Cost to Borrow Surges Up to 1000%

Market News Daily - AMC Cost to Borrow Skyrockets to 1,000%.
Market News Daily – AMC Cost to Borrow Skyrockets to 1000%.

AMC Entertainment (NYSE:AMC) stock has reached a max cost to borrow of more than 1,000% (1.04k%), per Ortex data.

The last time AMC’s CTB surged past 1,000% was back in April and early July.

AMC’s cost to borrow average is currently reported at 974.83%, respectively.

The cost to borrow, per Ortex, is the annualized percent of interest on loans, typically borrowed by brokers and hedge funds.

This percentage figure may change on a daily basis and level out through its ‘cost to borrow average’.

According to the Securities Lending Agreement (SLA), this fee must be charged prior to the stock being borrowed.

Short sellers rely on brokers to have stock shares available to borrow. 

Stocks on the hard-to-borrow list may not be short-sellable or have higher stock loan fees, hence why we’re seeing AMC’s cost to borrow at 1,000%.

AMC Entertainment is in high demand, both for short sellers and long investors.

But with fees this high, is it really worth shorting the movie theatre company?

AMC Entertainment stock is currently down -4.58% this year-to-date.

Here are the latest developments happening with AMC Entertainment today.

[stock_market_widget type=”chart” template=”basic” color=”#5679FF” assets=”AMC” range=”1mo” interval=”1d” axes=”true” cursor=”true” range_selector=”true” display_currency_symbol=”true” api=”yf”]

AMC Shareholders Have Now Saved The Movie Theatre Company Again

Market News Daily - AMC Cost to Borrow Skyrockets to 1000%.
Market News Daily – AMC Cost to Borrow Skyrockets to 1000%.

AMC shareholders have now saved the movie theatre company again after two major proposals were finally passed following an exhausting lawsuit.

A reverse stock split and conversion of APE shares to common stock will now go into effect later this August.

AMC’s 1-for-10 reverse stock split will go into effect on Thursday, August 24.

The conversion of APE shares into AMC common stock will occur the following day, Friday August 25.

The litigation settlement will then take place on Monday, August 28.

CEO Adam Aron says these dilutive proposals will help AMC Entertainment raise plenty of cash to survive another catastrophic event.

“AMC must be in a position to raise equity capital. I repeat, to protect AMC’s shareholder value over the long term, we MUST be able to raise equity capital.

That is especially the case now with the added uncertainty caused by the writers and actors strikes, which could delay the release of movies currently scheduled for 2024 and 2025.

If we are unable to raise equity capital, the risk materially increases of AMC conceivably running out of cash in 2024 or 2025, or of AMC being unable to satisfactorily refinance and stretch out the maturity of some of our debt (which is required of us beginning as early as 2024.)

The risk of financial collapse is not whimsical. Cineworld/Regal, the second largest movie theatre chain in the world, fell into bankruptcy and their equity holders were essentially wiped out. Bed, Bath and Beyond which was viewed as the third most watched meme stock, also fell into bankruptcy and their equity holders also were essentially wiped out.

Fortunately, at AMC, we have been much smarter, much more agile and much more skillful. We have risen to every Covid challenge heretofore, and I have every confidence in our continued ability to successfully navigate through these complicated times,” Adam Aron said in a July letter.

Also Read: AMC Is Now Hit With a New Class Action Lawsuit

Why Does AMC Stock Keep Getting Shorted?

AMC cost to borrow 1000% news.

AMC Entertainment continues to be a strong target by Wall Street, but why?

Movie theatres are no longer dead, and AMC Entertainment is no longer on the brink of going bankrupt.

Giants Amazon and Apple are now investing billions of dollars in the movie theatre industry, which is going to bring more movie titles to cinemas across the country including industry leader AMC Entertainment.

Today, AMC’s short interest is high at 28.48%.

AMC’s cost to borrow has surged as high as 1,000% — showing there is a scarcity of shares to borrow and a high demand to short the stock.

CEO Adam Aron has stated that the only thing the company needs to enter profitability again is more movie titles, and they’re coming.

So why does Wall Street continue to overleverage themselves and fight the movie theatre chain?

I’d love to hear your thoughts in the comment section below.

Also Read: Everything You Need to Know About an AMC Short Squeeze

Market News Published Daily

Market News Daily - AMC Cost to Borrow Skyrockets to 1000%.
Market News Today – AMC’s Cost to Borrow Skyrockets to 1,000%.

For stock market, business news and updates, join the newsletter to receive weekly market news and notifications straight to your inbox.

Franknez.com is the media site that keeps retail investors informed.

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Franknez.com

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Robinhood is Now Facing a New Trading Investigation

Market News Daily - Robinhood is Now Facing a New Trading Investigation.
Market News Daily – Robinhood is Now Facing a New Trading Investigation.

Robinhood (NASDAQ:HOOD) is now facing a new trading investigation after the company won its case over the manipulative ‘meme stock’ halts.

The 11th U.S. Circuit Court of Appeals in Atlanta ruled 3-0 in its favor regarding the trading restriction of 13 meme stocks back in 2021.

These stocks included AMC Entertainment (NYSE:AMC), GameStop (NYSE:GME), and Bed Bath & Beyond (OTCMKTS:BBBY), among others.

In a proposed class action, shareholders of the 13 stocks alleged that they suffered damages because they were restricted from trading.

Now Robinhood Markets says it’s being investigated for its trading execution, the latest in a string of regulatory and legal proceedings faced by the online brokerage.

“The New York Attorney General is conducting an investigation into brokerage execution quality. We are cooperating with this investigation,” Robinhood said in a recent filing.

Robinhood previously settled a New York state probe into its cybersecurity and anti-money-laundering practices and paid a $30 million fine. The company has also:

  • Paid $65 million to settle a Securities and Exchange Commission charge that it didn’t sufficiently disclose its business deals with high-speed trading firms
  • Paid $70 million to settle multiple allegations from the Financial Industry Regulatory Authority, including investigations into options trading and technology outages.
  • Agreed to pay $10 million to resolve a multistate investigation into allegations that it harmed retail investors, including by failing to supervise technology that resulted in outages and locked millions out of trading in March 2020.

On social media, retail investors argue that Robinhood’s victory over the ‘meme stock’ halts has been a major injustice to investors worldwide.

“The online brokerage has faced heightened regulatory scrutiny during the past several years. In March 2020, several service outages prevented its customers from trading. Then, in early 2021, the so-called meme-stock frenzy spurred the brokerage to restrict trading,” says Bloomberg.

Robinhood said in the Thursday filing that it’s paid about $175 million in the past few years to resolve actions brought by the Securities and Exchange Commission, the Financial Industry Regulatory Authority and several state regulators.

Other Recent Robinhood News

Market News Daily - Robinhood is Now Facing a New Trading Investigation.
Market News Daily – Robinhood is Now Facing a New Trading Investigation.

Robinhood active users have now declined by a whopping 3,200,000 this year according to the company’s latest report.

As a result, transaction-based revenue declined 5% in the second quarter.

Monthly active users also decreased to 10.8 million, one million fewer compared to the previous quarter and 3.2 million fewer than the year prior per Reuters.

Earnings per share in the second quarter were $0.03, beating analysts’ average estimate of a loss of $0.01, according to Refinitiv data.

“We’ve been talking about for the last several quarters how we want to be lean and scrappy from a cost perspective, and we’ve been keeping our eye on that very closely,” Jason Warnick, Robinhood’s chief financial officer, told reporters.

Robinhood (NASDAQ:HOOD) stock fell more than -6% on Thursday based the decline in users report.

“The company reported higher second-quarter revenue on Wednesday as interest rates continued to increase the online brokerage’s interest income, achieving profitability for the first time as a public company even as it saw fewer users.

Net interest revenue soared 243% to $442 million in the second quarter compared to a year earlier, as the brokerage’s margin investing business benefited from the U.S. central bank’s monetary policy tightening campaign to combat decades-high inflation.”

Mizuho Americas Senior Financial Technology Analyst Dan Dolev says Robinhood could be the next Charles Schwab.

“I’m actually seeing results being very, very strong and, to me, that’s more important than a data point on users,” Dolev says of Robinhood’s second quarter results.

Also Read: Robinhood and Citadel Colluded Night Before Trading Restrictions

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Market News Today - Robinhood is Now Facing a New Trading Investigation.
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NYSE Comments on Naked Short Selling in New Response

Market News Daily - NYSE Comments on Naked Short Selling in New Response.
Market News Daily – NYSE Comments on Naked Short Selling in New Response.

The New York Stock Exchange (NYSE) is commenting on naked short selling in a new response to the concerned public.

On Thursday, the official NYSE Twitter page shared SEC key points relating to short sales as well as an explanation on the Threshold Securities List and ‘naked short selling’.

The announcement coincidentally follows the statement AMC CEO Adam Aron made on Wednesday relating to AMC’s exceedingly high number of FTDs.

“Many of you are incensed by the high number of “Fail to Deliver” AMC shares, and that AMC again has been on the Threshold List for multiple weeks. We repeatedly have gone to the NYSE and FINRA, and did so again in July, to put and keep this entire situation on their radar,” said the CEO.

The NYSE is now making a public announcement for concerned investors.

“In response to public inquiries, a particular stock’s inclusion on the threshold securities list — which involves the clearing of transactions — is based on specific criteria dictated by the SEC’s Regulation SHO.

Securities cannot be added to or removed from the list in any other way — it is not at the Exchange’s discretion.

The SEC has a public document explaining Reg SHO, which includes a detailed discussion of the threshold securities list. It also provides contact information at the SEC for related questions,” the NYSE stated on Friday.

AMC shareholders argue that the SEC has violated its 13-day threshold securities list rule, which states that once a ticker has remained on the NYSE Threshold Securities List for 13 consecutive days, the broker-dealer must immediately close out all fail-to-deliver positions by purchasing shares in the open market.

Here’s what the NYSE and SEC say about naked short selling.

Also Read: Companies Are Now Taking Illegal Short Selling Seriously

Regulators Comment on Naked Short Selling

Market News Daily - NYSE Comments on Naked Short Selling in New Response.
Market News Daily – NYSE Comments on Naked Short Selling in New Response.

The SEC’s investor Reg Sho states that although the vast majority of short sales are legal, abusive short sale practices are illegal.

In a “naked” short sale, the seller does not borrow or arrange to borrow the securities in time to make delivery to the buyer within the standard settlement period.

As a result, the seller fails to deliver securities to the buyer when delivery is due (known as a “failure to deliver” or “fail”).

Failures to deliver may result from either a short or a long sale.

There may be legitimate reasons for a failure to deliver.

Human or mechanical errors or processing delays can result from transferring securities in physical certificate rather than book-entry form, thus causing a failure to deliver on a long sale within the standard settlement period.

A fail may also result from “naked” short selling.

Regulators state that “naked” short selling is not necessarily a violation of the federal securities laws or the Commission’s rules but rather in certain circumstances, “naked” short selling contributes to market liquidity.

“For example, broker-dealers that make a market in a security generally stand ready to buy and sell the security on a regular and continuous basis at a publicly quoted price, even when there are no other buyers or sellers.

Thus, market makers must sell a security to a buyer even when there are temporary shortages of that security available in the market.

This may occur, for example, if there is a sudden surge in buying interest in that security, or if few investors are selling the security at that time.

Because it may take a market maker considerable time to purchase or arrange to borrow the security, a market maker engaged in bona fide market making, particularly in a fast-moving market, may need to sell the security short without having arranged to borrow shares.

This is especially true for market makers in thinly traded, illiquid stocks as there may be few shares available to purchase or borrow at a given time.”

Also Read: “The Game is Rigged”, Says Ex-Citadel Data Scientist

That’s right, the illegal practice of selling shares that have not been determined to exist, otherwise known as ‘naked short selling‘, is legal for Ken Griffin’s Citadel as well as other market makers.

Yahoo’s Senior Markets and Data reporter Jared Blikre says most of the time it’s illegal.

“If a hedge fund releases a short report on a stock, they can short it, but they have to pay a borrowing fee.

They have to borrow it from somebody so they don’t engage in naked short selling, which increases the amount of shares and the float of the company.

Now market makers like those at the New York Stock Exchange– Citadel is one. They can engage in naked short selling, and it’s perfectly legal. It’s part of their market-making duties to provide liquidity for a stock,” reports Blikre.

“Sometimes there are fails to deliver, and a fail to deliver is when you don’t have the ability to prove that you borrowed the stock legally before you actually shorted it,” he continued.

“The wholesalers are providing infinite liquidity, so if we get an order for a thousand shares in stock that no one has ever heard of and there’s two hundred shares in Nasdaq and New York, we fill at a thousand shares at that inside price. That’s meaningful liquidity,” said Virtu Financial CEO Doug Cifu last year.

But it’s not meaningful liquidity, these shares simply don’t exist.

This is how a demand for short sales that have not been determined to exist have the power to tank the markets or how small to mid-cap size businesses become targets of manipulative short selling.

If illegal naked short selling can become legal for market makers such as Citadel and Virtu, isn’t this a conflict for biased trades taken on their end?

Also Read: Wes Christian Says ‘Naked Shorting’ is a Big Worldwide Problem

Market News Published Daily 📰

Market News Today - NYSE Comments on Naked Short Selling in New Response.
Market News Today – NYSE Comments on Naked Short Selling in New Response.

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MULN Approves New Reverse Split Proposal; Stock Surges

Market News Daily - MULN Approves New Reverse Split Proposal; Stock Surges.
Market News Daily – MULN Approves New Reverse Split Proposal; Stock Surges.

Mullen Automotive (NASDAQ:MULN) has approved the company’s new reverse split proposal, which was introduced mid-June.

MULN stock surged more than +39% after Thursday’s shareholder meeting, sending shares above $0.17.

Proposal 3, one of the many dilutive proposals Mullen Automotive was proposing, aims to effect a reverse stock split between a 1-for-2 and 1-for-100 max ratio, per the company’s Board of Directors.

Mullen survived delisting in May when the company issued a 1-for-25 reverse stock split.

However, share prices have since fallen below Nasdaq’s $1 bid requirement putting the company stock at risk; the company only lasted 10-consecutive days above $1.

Earlier, this article had reflected the rejection of a MULN reverse stock split based on a livestream and commentary of the shareholder meeting.

Reports now suggest that the MULN reverse split has indeed been approved.

On March 8, Nasdaq said Mullen Automotive has until September 5 to meet its $1 bid requirement.

Failure to do so will result in the suspension and delisting of the stock.

[stock_market_widget type=”chart” template=”basic” color=”#5679FF” assets=”MULN” range=”1mo” interval=”1d” axes=”true” cursor=”true” range_selector=”true” display_currency_symbol=”true” api=”yf”]

Mullen Automotive Launches New App

Market News Daily - MULN Approves New Reverse Split Proposal; Stock Surges.
Market News Daily – MULN Approves New Reverse Split Proposal; Stock Surges.

Mullen Automotive just launched its new EV app on the Apple App store, Mullen Commercial Pulse Driver.

The app aims at connecting with Mullen commercial EV owners by providing them with instant vehicle information such as battery power/miles left, nearby charging stations, roadside assistance, and the ability to lock and unlock their vehicle.

Company’s will also have access to real-time vehicle location and intelligent routing support, making it an ideal application for business owners arming their company with a Mullen Automotive fleet.

“Mullen Automotive is committed to helping fleets improve cost savings, safety, training, productivity and emissions impact.

Commercial Pulse provides managers and drivers a connected fleet of vehicles with maintenance alerts, real-time vehicle location, driver safety, batter state of charge, metrics and more.

Drivers can utilize Commercial Pulse for routing assistance, real-time vehicle location, charging station locator, roadside assistance and more.”

The company has not made an official announcement yet but the app is now available for download.

For more Mullen Automotive news and updates, join the newsletter below.

Also Read: Mullen Has Now Been Investigating Naked Short Selling Since April

Market News Published Daily 📰

Market News Today - MULN Approves New Reverse Split Proposal; Stock Surges.
Market News Today – MULN Approves New Reverse Split Proposal; Stock Surges.

Join the newsletter ⬅️ to receive daily stock market news, business news and updates straight to your inbox; more than 10,000 readers have joined!

THANK YOU to all of our blog sponsors, this year we’ve been able to increase our email sends and signup slots as well as introduce push notifications.

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