It might get up. But then the reason will be market dynamics, not your faulty mathematics.
When the APE dividend split happened, AMC stock price fell around the value of APE stock price, right?
Why? Because it came from the company value, not out of thin air, you flippin‘ morons.
You can‘t just create another cake from one cake.
I assume the following will happen before the merge:
AMC will drop, APE will get higher until they both are around the same price. Basically what was happening the last days since the news came out.
What could happen is:
APE goes up significantly and take AMC with it. Suddenly price before the RS could be around 25-40 for each stock.
Then the amount of APE will be converted into AMC. THAT DOESN‘T MEAN THE STOCK PRICES WILL BE ACCUMULATED, IT JUST MEANS THE NEW NUMBER OF AVAILABLE AMC SHARES IS # of AMC+ # of APE!
And then the RS will reduce the number of available (new CUSIP) AMC to a tenth of (# of APE + # of AMC). If I am recalling it right, AA said it will be 140 Million (n)AMC.
And that‘s not bad.
This will force SHF and brokers (bad actors) to get shit in order which they could hide. Wrinkle brained apes are explaining this shit for days now.
2.) „They will just go on and short it back down from $50 to $5.“
You just don‘t get it.
No. First of all, the Reverse Split will be flippin’ expensive for the SHF. Shit will hit the fan. Not every broker or SHF has the money to be able to kick the can like maybe Shitadel and Blockwreck has. And we know, they don‘t show in how much trouble they are.
The Art of War: „If you are weak, pretend you are strong“.
After the RS it will be much more expensive to borrow the stock, because they need to start the game all over again.
And we don‘t know what happens with all the lended out OG stocks.
Also: this game with creating synthetic share can‘t just go on forever. Have you ever watched (I know you can’t read) The Big Short?
3.) The average will go up times ten.
That might be true. It concerns me as well.
But what‘s the alternative?
Price going lower and lower?
I will just keep on buying, holding and waiting.
4.) The thing with the SHF thesis
If AMC will get debt free, it will be able to pay real dividends and SHF thesis goes bye bye and AMC won‘t need to pay interest.
BAG FINDER GENERAL : Did you just copy this from reddit or did you write the ORIGINAL post?
This post pissed of alot of people on reddit I can't see people being happy that you call them dumb and stupid on numerous occasions