1/9/2024 0 Comments Bed bath beyond stock reddit![]() Source: Filed SEC Complaintĭon't believe me? Here's some curated examples of the insanity I encountered after spending way too many hours researching the cult. He's basically the Harold Camping of investing. ![]() This head prophet has a terrible track record of pumping garbage stocks and cryptocurrencies. The cult's figurehead even holds regular live streams akin to sermons, where he preaches his interpretation of the DD to the hopeful masses and entertains inquires from fellow believers. Many of these prophets write so-called due diligence ("DD") - which serves as a sort of holy scripture. Prophets emerged, individuals who claim to have special insight or the ability to interpret various signs such as bankruptcy court filings. Instead of heeding clear signals from official filings and financial media, these investors then turned amateur detectives, pouring over Cohen's series of "Teddy" children’s books searching for hidden messages about their stock's fate. ![]() Recently, the cultists all decided to change their Twitter profile pics to him. For instance, they worship Ryan Cohen as a messiah figure, placing undue faith in his every word. In a similar vein, BBBY investors are now enacting their own ritualistic behaviors in a desperate attempt to revive their dead stock. After the war, some locals formed cults that believed by replicating certain behaviors, such as building airstrips or mock planes, they could summon back the wealth of the departed foreigners. These groups observed the influx of Allied soldiers who brought with them vast amounts of supplies. ![]() For the uninitiated, a cargo cult is a belief system among some Pacific Islander groups that arose during after World War II. In particular, the BBBY apes have formed what appears to be the investing equivalent of a cargo cult. In essence, these individuals are doggedly attempting the investing equivalent of dividing by zero, and seem convinced that there's a grand mathematician conspiracy whenever they're told it's nonsensical. Similarly, the investing world has its own cohort of lunatics: meme stock "apes". What's happening with BBBY shareholders right now offer a prime case study in how having "conviction" in investing can transform minor setbacks into monumental losses, and communities into cults.Įvery very domain has its fringe beliefs, from flat Earthers in geography to sovereign citizens in law. Their response to these glaring red flags? An odd descent into tinfoil hat conspiracy theories like a financially-inclined QAnon. Throughout the Chapter 11 process, BBBY stated in numerous filings in no uncertain terms that shareholders would be completely wiped out and end up with nothing.īut this backdrop of doom didn't deter a staunch group of BBBY shareholders. The company ended up filing for Chapter 11 bankruptcy anyways and got delisted from the NASDAQ. In a desperate bid for survival, BBBY repeatedly diluted its shareholder base and warned of bankruptcy risk. Ryan Cohen, a prominent activist investor and now CEO of Gamestop, sold his shares. ![]() Source: Filed SEC Complaint Source: Krollīefore its liquidation, BBBY was a veritable slow-motion corporate trainwreck playing out in three distinct acts: Here was a dying brick-and-mortar retailer that was all but screaming its imminent demise through a series of inauspicious events, yet a hardcore group of retail investors still bought and held to the bitter end. The recent plight of Bed Bath & Beyond (BBBY) shareholders offer a real-life cautionary tale on the perils of blind conviction in investing and the dangers of online echo chambers. ![]()
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