Comment on Reddit seeks to launch IPO in March
AlteredStateBlob@kbin.social 11 months agoThey will short the fuck out of it. There is literally no way this company can make money without making the product so much worse they will really start bleeding the users they need for revenue. It will explode on launch week and crash two or three weeks later.
yggstyle@lemmy.world 11 months ago
Long short, long volatility until it flatlines. Basically free money. Their product is users and their data. If they upset the ecosystem users leave and decrease valuations… leads to layoffs and cost saving measures. Rinse and repeat until sufficiently dead.
AlteredStateBlob@kbin.social 11 months ago
The second they're publicly traded layoffs will simply be part of the cycle regardless of stock performance. C-Level must be seen to do SOMETHING to generate profits, or at least try. Regulators suck hard at following up on anything, but you gotta play by the book to keep them from sniffing around.
I'm also fully expecting this to be a case of butchering the pig. Huffman and the other cunts in charge will sell of their shares, make millions and run it into the ground. Much less scrutiny if a publicly traded company evaporates due to bad stock performance than when a private company suddenly disintegrates and the C-Level runs away with all the cash. Blame it on the STONK crowd and you're literally golden.
I'm sure they'll try and make as much money on the way out as possible, but tinfoil: This is the start of the end with a certain degree of intent by those in charge of that fucking company.
yggstyle@lemmy.world 11 months ago
Without a doubt. They can’t reasonably increase revenue so they need to pass the books with layoffs. Those will result in the platform rotting out (further) from the inside. That’s the long short position. Long volatility while the price bounces around like a coked up jack russel terrier.