GameStop Stock: Short Sellers Are Not In A "Comfortable Position".
$GameStop(GME.US)$ $AMC Entertainment(AMC.US)$ Some potential approaching catalysts for GameStop and, perhaps, other meme stocks too.
GameStop announced a stock split proposal which is to be voted on in early June. Although a stock split, theoretically, adds no value to a company's fundamentals, according to Bronte Capital "not accepting that stock splits add value is a recipe for losing money."
The relevance of a stock split is most evident in the options market, where a standard put or call contract leverages 100 shares of an underlying asset. Options, thus, tend to be more expensive when the underlying shares themselves are more expensive.
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