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Joined 7 months ago
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Cake day: February 14th, 2024

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  • I’m sure Steve Huffman is worried that redditors are shorting the stock as it went from $34 to $59.80 since IPO.

    A rough estimate is Huffman just made at least $102M from the IPO ($136M existing stock plus $193M in options and RSUs, at plus 75% increase in value) taking his net worth to at least $575M.

    He gets a $20M bonus if the stock doesn’t tank by 50% for two weeks too.

    Realistically he got his shares at a much much lower price so his gains are massively outsized.

    IPOs are a scam, they lower the price for banks arbitrarily then claim it as a success when the numbers pop at launch, which is clearly a market failure where the insiders get first pick and ability to cash out. The SEC should jail any bankers who work on an IPO that increases by 30% on launch day for fraud and collusion.