Tag: Stock Picks

“Dumb Money” Gained More Than 1200% in AMC Stock Last Year

AMC Dumb Money 2022
Should you invest in AMC stock in 2022?

Dumb money may not be so dumb after all.

The group referred to as “dumb money” ended up making significant gains in 2021 from AMC stock.

Retail investors who got in early made a whopping 1200% return in their investment with the share price only sitting at $27 per share.

Those who traded the stock back in June made nearly 3000% in return when AMC reached $72 per share.

Is dumb money actually dumb?

Here’s what’s next.

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Welcome to Franknez.com – the ape community made a ruckus last year and has become a beacon for change in the markets. There’s a lot going on this year and a lot more money to be made.

Let’s get started!

AMC stock took the internet by a storm all of 2021.

It was on the top 10 list of most searched words on Google, and it was the most searched ticker symbol in the markets.

Why did AMC get so much traction?

The story is incredible.

The Data Showed These Possibilities

AMC Short Squeeze Data

You might wonder, how the heck did this stock provide investors with more than 1200% in returns?

The truth is a small group of retail investors on Reddit’s r/wallstreetbets found data that predicted it to do so.

In fact, the data says AMC can still rise much higher than its climb to $72 per share.

See, we knew two things.

AMC stock was heavily shorted, and short sellers (investors betting against the stock), eventually needed to cover.

This meant that as retail investors bought the stock, the demand for it would increase the price, causing a short squeeze (massive price influx).

The people on the opposite side of the spectrum were hedge funds, financial institutions who lost billions of dollars betting the stock would go down.

In the midst of pursuing one of the biggest trades in history, retail investors were able to save AMC Entertainment from going bankrupt.

The century old movie theatre chain raised more than $2 billion dollars in cash and began innovating ever since.

Mainstream media fought hard

What surprised retail investors is how much mainstream media actually cared about their finances.

Finance media warned investors to stay clear from the stock, eventually attacking the company and anyone who invested in it.

The Fool, MarketWatch, Benzinga, Yahoo Finance, and other finance media began attacking the ‘ape community’.

Come to find out there was a massive conflict of interest given that all these news platforms were tied to News Corp., a company indirectly owned by the biggest hedge fund shorting AMC stock, Citadel Securities.

While mainstream media might have been able to scare a few people from their money, the ape community persisted to educate the public.

My platform introduced hundreds of thousands of people to AMC stock, and now millions.

YouTubers such as Trey’s Trades and Matt Kohrs used their channels to expose the data that triggered millions of retail investors to buy the stock.

As an early adopter, my blog has educated the public on the data that predicted these price moves and has fought for a fair market through investigative journalism.

Is the AMC short squeeze over?

is AMC short squeeze over
AMC Entertainment stock was the most searched ticker in 2021

The AMC short squeeze is not over, AMC’s reported short interest is still very high.

Although you cannot buy the stock at $2 or $5 anymore, entry at $25-$27 is very cheap compared to where the price can still go.

AMC’s share price rose from $14 to $72 when the short interest dropped from 20% to 14%.

The short interest is currently at 17% meaning shorts have opened new positions.

And as long as there are this many shorts betting against AMC, they have locked in positions to be squeezed out of.

Third wave price predictions are looking at AMC trading at hundreds of dollars per share.

As retail investors continue to buy and hold the stock en masse, AMC will continue to set new all-time highs (ATH).

Should you buy AMC stock in 2022?

AMC stock 2022
“Dumb money” is still buying AMC Stock in 2022 – AMC Short squeeze 2022

There are conditions to buying AMC stock in 2022.

First, be willing to invest money you can afford to lose because nothing is certain in the markets.

The stock market is a very institution-oriented device and still very much plays in the favor of banks and hedge funds alike.

Your risk tolerance will play a massive role in this trade but could very well be worth it.

To take things into perspective, majority of the community who got into AMC last year is still holding the stock even though they can cash out massive gains.

The reason being is conviction.

AMC has so much more potential, and we are all excited to see it come to fruition this new year.

If this sounds like it could be a play for you then you might want to consider it.

Opportunities like this don’t come very often.

I guess dumb money wasn’t very dumb after all.

Read: How to invest in stocks for beginners (step-by-step)

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Why SPY Stock is The Perfect Retirement Vehicle

SPY Stock
$SPY Stock S&P 500 ETF Warren Buffett

SPY stock was the very first stock I purchased when I first began investing back in 2019.

In fact, I bought shares of the index fund under VOO from Vanguard.

I bought in at around $320 per share, SPY stock price today is worth approximately $450.

It’s crazy to believe the S&P 500 was worth $44 back in the 90s.

It’s had a quite the climb and I’m excited to see my portfolio grow with this index fund.

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Welcome to Franknez.com – today I want to discuss with you one of my favorite stocks and why I think it’s the perfect retirement vehicle.

Lets get started!

1. SPY Stock Growth

spy stock growth

SPY stock is the perfect long term growth investment vehicle.

The S&P 500 has an incredible 917% return since inception, and a 21.2% return year-to-date.

SPY stock is they type of stock that will always move in an upwards trend because the S&P 500 index tracks the top 500 companies in the U.S.

The sentiment behind business in the U.S. to always do better than the previous year.

Companies aren’t in business to consolidate for several years.

They’re in business to provide more value the following year than they did the previous year.

It’s this type of mentality that’s going to allow SPY stock to surge throughout the coming years and decades.

[Click here for a full list of companies in the S&P 500]

Did You Know Warren Buffett Loves The S&P 500?

Warren Buffett S&P 500

You might know Warren Buffett for being one of the most successful stock pickers of our time.

If you follow him you’re quite aware of how much he encourages new retail investors to invest in a growth driven index fund like the S&P 500, or SPY stock (VOO).

In fact, Warren Buffett wants to move 90% of his wealth into the S&P 500 after he’s gone.

The Oracle of Omaha even said he’s instructed the trustee in charge of his estate to invest 90% of his money into the S&P 500 for his wife after he dies, Buffett told CNBC’s Becky Quick in an exclusive interview on “Squawk Box”.

WOW! That says a lot about SPY stock coming from Warren Buffett himself.

If you think about it, it took Warren so many years of trial and error to figure out his best bet was to simply invest in a long-term growth index fund.

This leads me to believe that anything else in the market could very well be played short term to add to this long term retirement vehicle.

For instance, I’m heavily invested in the momentum stock, AMC.

I’ve made a tremendous amount of gains (on paper) but don’t plan on cashing out until it squeezes.

You can bet I’m parking a ton of cash in SPY stock.

#2. SPY Stock Pays Dividends

Spy stock dividend

The S&P 500 has a dividend yield of 1.25% and an annual dividend of $5.573.

A company provides dividends, or a ‘payout’ to its shareholders for holding the stock.

It’s a little lower now than it has been before (3-5% dividend yield) but this fluctuates.

Dividends are not the same as ROI or annual returns.

Investors love dividends because it allows us to either cash in this payout, or reinvest it back into the stock.

When you reinvest your dividends back into SPY stock, you begin accumulating fractions of the share which eventually leads to the stock buying another share on its own.

Put enough cash in SPY stock and this snowball can grow quite large over the years.

I’ve been personally investing in momentum stocks this entire year so I haven’t updated my SPY stock position just yet.

However, it’s one of my top stock picks for my long term portfolio.

Let me know if you own SPY stock in the comment section of the blog below. I’d love to know.

#3. Annual Return of 13.55% In Recent Years

SPY Stock Annual Return

SPY stock has had an amazing return of 13.55% over the past 3 years. Since inception, the S&P 500 has yielded an annual return of approximately 10%.

If you make $5 million dollars from momentum trading, pay your taxes, and put at least $1 million in SPY stock then you could be earning a whopping $100k yearly return.

If you put $2 million and leave yourself with the remaining in your pocket, well then now you’re earning $200k per year and have a cool $1.3 million in your pocket.

This is just an example of how new retail investors can use SPY stock as a long term retirement vehicle that will continue to multiply your profits.

Using this same example, I would personally leave $3 million in SPY stock and leave the $300k in my pocket.

Some of this money could go into other stocks or crypto, or even other momentum trades.

The S&P 500 Always Grows

Index Fund Growth

Through the ups and downs, throughout economic downturns and abundance, SPY stock has always grown.

When is the best time to buy the S&P 500?

In my opinion, when the stock is on discount.

During the COVID pandemic the stock market tanked but the wealthy made a lot of money.

How?

Because they took advantage of the fire sale and loaded up on ‘cheap’ stock, or ‘discounted’ stock.

As stock price began to rise again, the wealthy began to see profit.

This is how the rich get richer during economic downturns.

One thing is certain, SPY stock is safer than picking individual stocks to grow your stock portfolio.

And individual stock may become volatile or may plunge and maybe even go bankrupt.

And if a company goes bankrupt, you lose all your money in that company.

SPY stock on the other hand always levels out.

If a few companies aren’t performing too well, it can always be balanced or countered by companies that are doing extremely great.

This is what makes the index fund such an attractive asset to both novice and experienced investors alike.

Have you shown someone how to invest in stocks?

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If you know a family member or a friend who wants to learn how to invest in stocks but hasn’t yet, send them this step by step guide for beginners I created.

It saves you the time from teaching them by walking them step by step on how to open their brokerage account with Vanguard.

I inform them on the differences between a REIT, Index Fund, and Stock.

If you liked this article be sure to bookmark it or jot down the information for your future stock picks.

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Read: My top picks of stocks to invest in right now


My Top Picks of Stocks to Invest in Right Now

Stocks to invest in today
Stocks to invest in right now
Stocks to invest in this week
Best stocks to invest in long term

I’ve found a fortune! And I want to share it with you. These stocks have allowed me to profit and snowball my investments within as little as a year. I understand stock picking can be quite difficult. Sometimes you just need someone to provide you with a list of stocks that has worked for them. Here are my top picks of stocks to invest in right now.

If you’re new to the investing world and haven’t started, bookmark this post on how to invest in the stock market (step by step) for beginners.

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Welcome to Franknez.com – the blog where you can digest content on personal finance, entrepreneurship, and trending investing topics.

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These stocks have allowed me to diversify my portfolio very well. You’ll get my favorite index fund, favorite ETF, and favorite REIT. Adding these stocks to your arsenal will proof to balance your investing portfolio out a little more.

I’ve been invested in the stock market since 2019 and have noted that these picks have been a strong foundation in my portfolio. Often times when other stocks were down, these were up. Lets dive right into it.

#1. EMR – Emerson Electric Co.

Emerson Electric Co. Stock

Emerson Electric Co. is an American multinational corporation that manufactures electric motors using their own patent. The company became the first to sell electric fans in the U.S and expanded its product line to electric sewing machines, electric dental drills, and power tools. EMR basically produces electric motors for every type of business and necessity you can think of.

Dividend Yield: 2.1%

This is a great stock to invest in because electric motors are always going to be needed. As our society continues to innovate, electric motors will continue to play a very important role.

EMR Emerson Electric Co stock chart

EMR Annual Return

Emerson Electric Co. has an average annual return of 9%. They are also involved in all sort of industries including automotive, life sciences & medical, water & waste, industrial energy, marine, and food & beverage just to name a few. Innovation? They’re currently involved in several stem projects too.

#2. GPC – Genuine Parts Co.

GPC Stock Genuine Parts Company Napa Stock

Genuine Parts Company is an American service organization that distributes automotive replacement parts, industrial replacement parts, office products and electrical goods. Parts are sold under the NAPA brand in North America.

Dividend Yield: 3%

GPC is great because cars aren’t going anywhere anytime soon. As cars evolve, this auto parts company will continue to manufacture and distribute parts.

GPC Genuine Parts Co. Nappa Auto Parts Stock Graph

GPC Annual Return

Genuine Parts Co. stock has seen an annual return ranging from 7% to 15%. GPC has more than 10,000 locations in 14 countries and employs approximately 50,000 people. 75% of GPC’s sales come from North America, 15% from Europe, and 10% from Australia.

#3. VNQ – Vanguard Real Estate (REIT)

VNQ Real Estate REIT stock

VNQ invests in stocks issued by real estate investment trusts (REIT’s), companies that purchase office buildings, hotels, and other real property.

Dividend Yield: 3.65%

The real estate market has been HOT recently. It’s a sellers market at the moment. With property selling almost instantaneously this REIT has been performing extremely well recently.

VNQ Vanguard Real Estate REIT stock

VNQ Annual Return

VNQ’s annual yield has varied with some years reaching up to 30%. Its history also shows annual yields between 5%-8%. This investment seeks to provide a high level of income.

#4. VOO – S&P500

VOO S&P500 Index Fund Warren Buffett

This Vanguard ETF invests in stocks within the S&P500, representing 500 of the largest U.S companies. Companies in the S&P500 include Apple, Tesla, Johnson & Johnson, Walt Disney, Netflix, and Coca-Cola to name a few. You can see all the companies in this index fund in the link at the end of this article.

Dividend Yield: 1.39%

The S&P is one of the best index funds in the market. Warren Buffett himself is a huge fan. Fun fact: his trustee is expected to receive all of Warren’s assets with 90% of his stock picks moved in the S&P500! When you own the S&P500 you own a piece of the fortune 500 companies.

Since they are all working and innovating towards being better every year, you can only expect this index funds’ value to go up.

VOO - S&P500 Index Fund

S&P 500 Annual Return

The S&P500’s annual yield has been approximately 10% – 11% since its inception back in 1926. This is an index fund I’m continuously adding to my position in. The diversity in companies it holds makes it an attractive stock for both novice and experienced investors.

Bookmark: Fiverr stock could be the next Amazon stock

#5. ESGV (ETF)

ESGV is a Vanguard ETF that invests in the top 10 companies in the U.S. These companies include: Apple, Microsoft, Amazon, Alphabet (Google), Facebook, Tesla, JP Morgan Chase & Co, Visa, Inc., United Health Group, and NVIDIA Corp.

Dividend Yield: 1.06%

Unlike the S&P500, owning this ETF means you own a piece of the top 10 companies in the U.S. This growth ETF puts the top earners in your portfolio. This attractive stock only knows up. The companies in this pool are companies that are constantly innovating. It’s always day one with them.

ESGV Vanguard ETF Stock

ESGV Annual Return

This ETF is relatively new. It was created in 2018 and has gained 24%-31% in annual returns. This type of investment is meant to provide you with the highest returns possible. Building your position in this ETF can prove to be a great offense. Very few times you’ll find this ETF on red.

Bookmark these investing tips for beginners.

Bonus Stock

AMC Stock

Have you seen what’s been going on with AMC Entertainment recently? This stock is set up for a short squeeze. If you can manage to buy this stock before it takes off then you’ll be able to make a quick trade. A subcommunity from Reddit who skyrocketed GameStop’s share price also began moving AMC Entertainment.

Well, AMC now has a bigger community due to how much more affordable its stock is than that of GameStop’s. You can read more about this stocks short squeeze DD (due diligence) here.

Are you already investing in one of these stocks? Lets begin a conversation. Leave me a comment below.

Related: Retire a millionaire with the S&P 500: Is it possible?

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Carvana Stock Is Yielding On Average 750% Per Year!

Carvana Stock
Carvana Stock – CVNA

Carvana is currently the fastest growing used car dealer in the United States. And for good reason too, but more on that later. Carvana Stock, ticker symbol CVNA is up almost 50% this year-to-date.

The stock has had an incredible runup since its inception back in 2017 when it was only worth $11. The stock is up more than 3000% in only 4 years. That averages to an astonishing 750% yearly return! Will Carvana stock keep going up? Or is it overvalued now?

Franknez.com carvana stock

Welcome to Franknez.com – today I want to go over stats, charts, and predictions on Carvana stock. Why? The company might just have some more room for growth.

Lets get started!

I came across Carvana stock when I was actually looking up the previous BMW M4 model online. I was curious to see how they were doing in the market and that’s when I stumbled across Carvana.com.

It wasn’t until after my experience on the website that I decided to look at the Carvana stock price. I looked at the 1 month, 6 month, and YTD chart and wasn’t surprised.

There’s a lot I want to go over so grab a drink or a snack and hang out with me for a minute.

Why Is Carvana Stock Going Up?

Carvana has had a great earnings report both Q1 and Q2 of this year, 2021. The company beat Q4 of 2020 by 31.72% in earnings per share, and Q2 beat Q1 this year of 2021 by a whopping 165.21% in earnings per share.

Carvana earnings call
Carvana stock earnings call chart

The company is doing a great job at earning revenue and keeping a positive cash flow. Carvana earned $3.34 billion dollars in revenue this Q2 which is a 198.39% increase from Q1 when it earned $2.24 billion in revenue.

Carvana’s current net income this second quarter was a whopping $22 million compared to being negative last quarter. Carvana is seeing some positive cash flow now and for this reason is why Carvana stock is rising.

Carvana Quarterly Financials Q2
Carvana Stock Financials

Because Carvana is both a traditional business and eCommerce platform, we can expect more of the tech side to be automated in the near future.

Starting up the tech side costs money, which is why we are seeing the company finally begin to reach higher earnings. The eCommerce side of the business is now performing as it should, attracting more and more buyers to the user experience.

How Does Carvana Work?

See, at Carvana you don’t have to leave your home to purchase a vehicle. Carvana has done an amazing job at configurating every vehicle at their dealer for an online shopping experience.

What makes Carvana so unique is that no other dealer is doing this. Carvana buys vehicles and stores them at their locations. They then create an online model of the exact vehicle with 360′ degree enhancement that you can toggle right from your phone or laptop.

Carvana car model

The images are high quality and you get to look at the exact vehicle you’re looking to buy. They even display bullet points wherever the car has minor damage (if it has any) and provides you with an image of the discrepancy (as shown below).

Carvana Imperfection Model

What’s amazing though is the user experience. You also have the availability to view the interior of the vehicle and access the key feature information from within.

When you decide you’re going to buy a car with Carvana, they deliver your vehicle directly to your home. It’s this convenience in the marketplace that sells and why it makes Carvana an attractive choice to buy a vehicle from.

Carvana Joins The Fortune 500 List

In other stock news, Carvana joined the Fortune 500 List back in June of this year and is claimed to be one of the fastest rises to date.

The company is certainly making a ruckus in the industry. And this is very good for investors.

According to Fred Decker, a company should plan for at least a decade in business before going for the Fortune 500 status. Carvana has accomplished this in only 4 years of being a public company.

Carvana Fortune 500 Graph

Will Carvana Stock Keep Going Up?

Carvana stock certainly has room for growth. The company is still relatively new and as innovation and practicality grows, so will the company earnings and share price with it.

If we look at Carvana’s stock chart trend then we can see that it’s had a steady growth for the past 4 years in a row.

Carvana Stock Price History
Carvana Stock Price History

Even as companies shut down during the start of the pandemic in 2020, the company kept growing. It’s these type of companies that have innovation and an online platform that will be the future of America.

Just like Fiverr stock, the online sector is where scalability is massive. I believe Fiverr could be the Amazon for freelancers. This online marketplace is dominating its space by offering freelancers all around the world a place to sell their services from home.

Carvana’s eCommerce platform can allow people around the globe to purchase vehicles directly from them rather than going into a local dealership or specific dealership.

The potential is certainly massive in my opinion.

How High Will The Stock Go?

Carvana stock could be a great long term stock to hold. The company is still new with lots of room for growth. They are definitely changing the way we buy cars today. Like any eCommerce or tech company, Carvana stock has the potential to reach the high hundred mark to even 4-figures per share.

The company will have to continue to innovate and dominate in order to accomplish this. My Carvana stock prediction is that the price action will skyrocket throughout this decade.

There’s an online business boom that’s going to take place very soon as more and more companies begin to evolve. Whether it’s a hybrid online business model like Carvana, or a full online business like Fiverr, there is no limit to scalability online.

Consider bookmarking: An online business can make you a ton of money

Who Are Carvana’s Competitors?

Carvana’s competitors include both CarGurus and CarMax. Both of these companies sell vehicles but don’t utilize an innovative eCommerce platform such as Carvana does for it’s users.

Unlike Carvana or CarMax, CarGuru doesn’t have its own dealerships. CarGuru sells cars from other dealerships and gets a cut from prospects who contact the dealers straight from CarGuru’s website.

CarMax is a more direct competitor to Carvana, though it doesn’t use the tech Carvana does. Instead, it has a more traditional car dealer business model.

Carvana is in the lead and I believe the company will continue to further innovate down the road.

“The more awareness that’s being built, I think the more understanding and eventually adoption and acceptance of buying a car online,” he says. “Certainly when you look back 10 years ago, to where it’s gotten now, it’s been crazy the growth that’s happening there.” Words from Ryan Keeton, via InsideHook.

More People Want Online Services

According to a survey conducted by Root & Associates, 53% of U.S consumers would be either extremely or very likely to purchase a vehicle entirely online. 59% said they prefer to conduct business on a website provided that they’re able to test drive the vehicle before purchasing it.

86 percent of those surveyed by Root & Associates said that they’d choose to do business with dealerships that offered online sales rather than those that didn’t, via. The Washington Post.

Buying a car online survey
Buying a car online vs buying in person

Roots & Associates says that only 35% of dealers are interested in selling vehicles via their website. That’s incredible. It’s for this sole reason that Carvana has more market share online and are leaders in this sector.

Most car dealers aren’t even willing to take this route. They fail to understand that online business models are the future. It’s incredible to think just how far Carvana can scale their services.

Could they possibly one day sell more Toyotas nationwide than Toyota dealerships? We’re just going to have to find out now aren’t we.

Does Carvana Pay Dividends?

Carvana does not currently pay dividends to its shareholders. This is rather common for a brand new company with only a few years being public.

Offering dividends is something companies can incentivize to their investors as the company continues to grow and yield promising returns.

Right now, Carvana is in the growth process. Dividends could be an incentive for perhaps another year down the road as the car company continues to scale.

So, Is Carvana Stock A Buy?

Carvana stock is certainly a buy if you have a strong conviction towards the online business sectors and marketplaces. Online business models are scaling businesses quickly and shooting up their stock price as well.

The stock market has currently been volatile so I would personally wait for the markets to dip. If you’re able to catch Carvana stock while the market is on fire, I would buy the stock on discount.

People are a little weary of another stock market crash this year for 2021 but as Dave Ramsey says, we must stay calm and stay invested.

Stock market crashes are indeed the best times to bulk up on your favorite stocks at a discount.

How To Buy Carvana Stock

If you’re not invested in the stock market yet, first you’ll need to open a brokerage account using Vanguard or Fidelity for example, which are free to use by the way. Once you create your account you’ll be able to fund it and buy stock.

The ticker symbol for Carvana is “CVNA”.

If you’d like a step by step walkthrough on how to buy your very first stock, click this link to redirect you to my article that explains it for beginners.

Investing in stocks has allowed me to grow my net worth and multiply my hard earned saved money many times over. It’s incredible how applied knowledge can change your life forever.

If you’re planning to buy Carvana stock or are simply looking for stocks to diversify your portfolio, be sure to bookmark this page so you don’t forget this information.

I don’t like to write articles on stock unless I believe they have massive potential growth. Whether it’s a momentum stock or a long term play, you’ll hear about it here.

And lastly…

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AMC For Dummies Written by An Ape

AMC For Dummies

Written by Grant Medford

I stumbled across AMC back in late January of 2021. I heard of the large gains that people were making on GameStop, and had heard that AMC was next. Since I’m a human being who needs more money in my life, I took some savings and extra cash and bought a handful of shares.

Little did I know that I would begin a journey down a rabbit hole that, to this day, amazes, frustrates and excites me.

I’m no professional investor. I don’t have “Financial Advisor” on my LinkedIn profile. I’m actually pretty terrible with money. But, I love making money and I love going to the movies.

So, throwing a few dollars toward something I love in hopes that it makes more, seems like a sure thing. But, I’ve discovered in these past few months of buying and HODLing, that sometimes sure things take patience and knowledge.

So, what have I learned in the past few months? Maybe you’re a first-timer like me. Perhaps a buddy convinced you to buy a few stocks because he dangled an #AMC500K carrot in front of you. But, you’re still confused. I get it. It’s confusing. 

Let me highlight the bright points of the past few months and catch you up to speed.

It starts with SHORT SELLING.

Short selling is the practice of borrowing a stock from someone and selling it at market value. You then drive the price down through media attacks on the company, or FUD – Fear, Uncertainty and Doubt. Once the price is sufficiently driven down (or the company is bankrupt), you buy the share from the market at the reduced price and return the share you borrowed.

Your profit is the difference between what you sold it at and the price you paid to return the borrowed share. In the case of a bankrupt company, the shares are voided, you don’t have to return anything, and you keep the straight profit.

AMC was the target of these institutions. These institutional investors are called Hedge Funds.

It continues with MARKET MANIPULATION.

What tactics do institutions use to drive the price down? There are many. They can spread bad news about the company through the media outlets. They trade borrowed shares back and forth between other institutions to delay paying back the shares in a timely fashion (borrowing shares does cost them – they do pay interest on those loans, however.) 

They can create synthetic shares – fake shares that are introduced into the market on the promise that real ones will be found at a later date eventually.

These fake shares can then flood the market to increase supply and drive the price down. Supply and demand are the name of the game. The more shares there are to buy, the less the price is. The fewer shares there are, the higher the price goes. This is how the market works. 

Another method of manipulation that has been recently discovered is trading through dark pools. This ominous-sounding system was actually created, innocently enough, so that large firms could buy and sell massive amounts of shares without dramatically affecting the market and thus, dramatically affecting the price of the stock. 

Hedge Funds have been using these dark pool trading systems nefariously to drive the price down. They buy the stocks in the dark pool (unaffecting the market) and then sell the shares in the regular market, driving the price down through increasing supply of the stock.

Enter the APES.

Apes are the term used to describe the retail investors who are trying to stop hedge funds from shorting AMC stocks and destroying the company.

For a description of the various terms used by the Ape community, check out Christie Smythe’s article, The r/WallStreetBets Glossary. These retail investors are attempting to “squeeze” the price of AMC stock and save the company from bankruptcy.

What is a “Squeeze”?

Remember earlier we spoke of how the hedge funds are borrowing shares, selling them, then purchasing them at a lower price through manipulation? Well, the strategy of the APE Nation is to buy all available shares of the company and hold on to them.

When the hedge funds do have to finally return the shares they borrowed, the only shares available would be the ones owned by retail investors. If the Apes are unwilling to sell their shares back into the market, it dries of the supply of shares and forces the price of the stock higher and higher – thus “squeezing” the price of the share.

Because no stock has ever been shorted as much as AMC in the history of the market, no one really knows how many shares are actually in the market or how high the price will go. The longer the retail investors hold onto their stocks, the more the price increases, causing what is known as MOASS – the Mother Of All Short Squeezes.

MOASS TBD

AMC MOASS

No one knows when the squeeze will happen. The Ape community has an incredible network of people who are doing great DD (Due Diligence) or research in order to watch dark pool statistics, chart movements, shorting statistics and media influence.

They are also watching the Securities and Exchange Commission (or SEC), the government watchdog for criminal and unfair market practices. The SEC is regularly investigating the markets for abuses and are producing filings that provide regulation to these unfair and criminal market activities. The more we learn from each other and share information, the faster the process speeds up.

What’s next with AMC?

No one can tell you what to do with your money. But, the fact that you’ve read this far tells me you want to learn. I, too, was in your shoes back in January of 2021. If I was going to invest my hard-earned money in a system I knew very little about, I knew I had to do some research.

Hopefully, this article has kicked-started that process for you. The more you research, ask questions, and listen to others who are on the same journey as you, the better off you’ll be to make smart decisions about your ownership in AMC stocks.

There are millions of people just like you. You’ve joined a movement that pays some great dividends and could leave lasting change in the American stock market. Be a learner, be an investor. Be a change-agent.

Written by Grant Medford

Grant Medford franknez.com

You can follow Grant on Twitter @Grant50909896

Read: How high can AMC stock price skyrocket up to?


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Is It Worth Buying 10 Shares Of AMC Stock Right Now?

Is it worth buying 10 shares of AMC stock right now?

AMC Entertainment stock (AMC) has taken over the financial world. AMC stock is up nearly 3000% and it hasn’t even squeezed yet. The stock is currently trading at $51.96 per share.

Perhaps you’ve been debating whether you should get in and purchase something. Don’t feel bad if fear of missing out is kicking in. Here’s what you need to know.

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Despite the desperate attempts from the manipulative media to divert the public from buying AMC stock, new retail investors continue to educate themselves.

Disclaimer on the home page, I am not a financial advisor. Why would anyone want to be a financial advisor any when most don’t even follow their own advise. With that being said, I have a passion for guiding people. If there’s an opportunity on the horizon then I will share it with you.

It is up to you whether you want to take it or not. AMC Entertainment stock is that opportunity at the moment.

Will AMC stock keep going up?

I just recently published an article on the technical setup that shows us the support levels that will take AMC to $100 per share. This post goes over the levels of resistance the stock will need to break in order to continue surging.

Zoom out to the monthly chart and you’ll notice that AMC stock has had a very bullish run based on what seems to be merely volume. Retail investors are buying the stock to squeeze short sellers out of their positions.

This event is what is known as a short squeeze. A short squeeze could skyrocket this stock beyond comprehension. How high can AMC stock go? Retail investors will have to hold their positions long enough to find out.

What you need to know before buying AMC stock

I published a list for new retail investors on 6 things they need to know about holding AMC stock. In short, they are:

  1. To detach your emotions from this stock trade
  2. Shun negative people
  3. Hedge funds are playing dirty
  4. Don’t invest more than you can afford to lose
  5. Share positive content and due diligence to help new retail investors
  6. Be patient

I’ve been buying and holding AMC stock since early February. I’ve seen the price go up from $5 to where it’s currently trading. And although at some point I was under $9K (on paper), I’m now up close to 6-figures.

BUT, I’m not cashing in. That’s because my conviction in the stock is #AMCSTRONG.

The AMC community is holding for many reasons. Everyone has a story. And the beautiful thing about this movement is that the data tells us there’s no ceiling as to how high this stock can go.

How much is 10 shares of AMC stock worth?

AMC’s stock price as of July 5th is worth $51.96. This means you 10 shares will cost you $519.60. This is the average cost of a car payment today.

Where will your investment be when AMC is trading at $100 per share? Your 10 shares will be worth $1,000.

So, is it worth buying 10 shares of AMC stock?

Considering you can double your money short term, this might be a good trade for the novice retail investor. However, you must know that if hold the stock, you might just be able to make a life changing trade.

The AMC community is not planning to cash in at $100 per share. No, the community is riding this out for the short squeeze where the potential is well above 4-figures and beyond.

I’m personally building capital to multiply in AMC before it goes to $100 per share. However, I will not be pulling any investment out until short sellers have been squeezed from their positions.

If you’re an AMC shareholder, not only do you own the biggest movie theater company in the world, but you hold a very valuable ticket to financial freedom.

Read: How to invest in the stock market (step by step) for beginners

What are the risks of investing in AMC Entertainment?

The number one risk is always never taking the risk. This of course is merely my opinion. And that of many highly successful individuals but you can make this assessment for yourself.

If you’ve been watching the stock for quite some time but haven’t gotten in, your risk increases as the stock price increases. Your chances of making significantly more money on this trade decreases by a bit.

If you plan on getting in on AMC for this 9/10 squeeze potential rating by Fintel then you don’t have much to worry about regarding entry price. Just try to buy on a red (discount) day or during a dip.

AMC short squeeze score fintel

The only scenario where you lose money is if you get in on AMC stock at $60 for example, it drops down to $55 and you take your money out because this small drop scared you.

This is not the way it’s played. The market does this, it goes up and goes down. AMC is currently bullish despite the high consolidation at the moment. It’s nature at the moment is to trend upwards.

If you’re a seasoned ape reading this article, you’ll have to identify whether buying 10 shares at this price is going to make a difference to your portfolio. It may not be a lot of shares from a glance but it a few thousand can add up.

Join my Discord community

AMC with Frank Nez now has over 2,100 members of both new and seasoned AMC shareholders. Our new members are learning something new every day!

I created this safe community for your voice to be heard and for new information to be shared. I constantly get complimented on this Discord group. My response is always the same. It’s you who makes this community great.

Here’s a personal invitation to the community. See you there!

You can support the blog on Patreon where you will also be able to access exclusive Frank Nez content.

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