03-02-2021, 03:32 AM
$GEO is a new position for Michael Burry
<!-- SC_OFF --><div class="md"><p>Michael Burry predicted the housing crash, predicted the $GME short squeeze, and now he has entered a position in a penny stock $GEO, which had some crazy option activity last week. This is worth checking because:</p> <ol> <li>Well, because one of the sharpest analysts invested in it</li> <li>Because others were buying significant stakes in $GEO call options</li> <li>Because the stock is undervalued trading at just over $7 with revenue over $19 per share</li> <li>Because the about 30% of the float (tradeable stock) is short, and it will take about 5 days of continued buying at the average daily volume to cover the short interest</li> <li>Because the option market makers got spooked by the option purchases and they bought the stock - this is a recipe for a gamma squeeze</li> </ol> <p>Disclosure: long $9 calls</p> <p>Good luck to all, happy trading.</p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/value1024"> /u/value1024 </a> <br/> <span><a href="https://www.reddit.com/r/investing/comments/lva520/geo_is_a_new_position_for_michael_burry/">[link]</a></span> <span><a href="https://www.reddit.com/r/investing/comments/lva520/geo_is_a_new_position_for_michael_burry/">[comments]</a></span>Kind Regards R
<!-- SC_OFF --><div class="md"><p>Michael Burry predicted the housing crash, predicted the $GME short squeeze, and now he has entered a position in a penny stock $GEO, which had some crazy option activity last week. This is worth checking because:</p> <ol> <li>Well, because one of the sharpest analysts invested in it</li> <li>Because others were buying significant stakes in $GEO call options</li> <li>Because the stock is undervalued trading at just over $7 with revenue over $19 per share</li> <li>Because the about 30% of the float (tradeable stock) is short, and it will take about 5 days of continued buying at the average daily volume to cover the short interest</li> <li>Because the option market makers got spooked by the option purchases and they bought the stock - this is a recipe for a gamma squeeze</li> </ol> <p>Disclosure: long $9 calls</p> <p>Good luck to all, happy trading.</p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/value1024"> /u/value1024 </a> <br/> <span><a href="https://www.reddit.com/r/investing/comments/lva520/geo_is_a_new_position_for_michael_burry/">[link]</a></span> <span><a href="https://www.reddit.com/r/investing/comments/lva520/geo_is_a_new_position_for_michael_burry/">[comments]</a></span>Kind Regards R