yego.me
💡 Stop wasting time. Read Youtube instead of watch. Download Chrome Extension

Amazon Stock Split?


2m read
·Nov 3, 2024

Today I'm gonna do something different and talk about when Amazon might split their stock with respect to what happened at Google. Now let me first mention that I called the Tesla split last year, and I will reveal my positions for Amazon later.

Now, some finance junkies are out there thinking stock splits don't affect the value, and once again, you have to be an idiot to believe the things you learned in finance. If we look back at what happened to Tesla, Apple, and Google, it's clear that splits do affect the value because it affects the Ponzi value—the only value that matters. Cheaper stocks are easier to shuffle and pump.

In the previous video, I showed how Amazon stayed flat over the past year while they made 30 billion dollars. That phenomenon is actually quite common; I call it the Google scenario in my research because Google stayed flat between 2007 and 2011 while the company made 29 billion dollars. Google basically had a ceiling at around 650 for four years, and it didn't break until they announced the stock split in 2012.

Back then, a 700 stock was uncommon and expensive, similar to what a 3,000 stock is today. Over the past year, Amazon had a similar Google-style ceiling at around 3,700. Now, that ceiling can break naturally over time with inflation, but I think Amazon's going to do it artificially with a stock split. Well, based on what happened at Google, I think we can all agree that Amazon will definitely split their stock within the next three years if they stay flat.

But I think it's going to happen within the next year if they stay flat because people are just less patient now. Furthermore, given what happened to Tesla and Apple, if they make that announcement, it will probably happen when they are releasing earnings.

As for me, I have a few bullish spreads that expire November 5th. The one highlighted is a call spread between 36 and 3,800 that closed around seven dollars today. So it's about a seven hundred dollar bet to win twenty thousand. I think it's a decent deal because thirty-six hundred dollars is familiar territory for that Ponzi asset, and these don't expire for a while; in fact, a week after earnings in early November.

However, I don't think it's going to hit that 3,800 max return mark unless Amazon makes a split announcement because, God knows, valuation is so.

There you have it. Now good luck and Ponzi up!

More Articles

View All
General Stanley McChrystal on leadership & navigating complex challenges | Homeroom with Sal
Hi everyone! Sal Khan here from Khan Academy. Welcome to our daily homeroom live stream. This is a thing we started, well, it seems like a long time ago now, but it was several weeks ago when the school closures happened. Just a way to continue to support…
How AI Is Saving Humanity
The first ultra intelligent machine is the last invention that man need ever make. The statement was made by mathematician Irving John Good in 1965. He was envisioning a machine smarter than any human who had ever lived, one that would design even smarter…
Genes, proteins, and cells | Genes, cells, and organisms | High school biology | Khan Academy
So when I was younger, around seven or eight years old, I used to have a betta fish named Bob, and he happened to be a blue colored fish. Now, I’ve always wondered how he got his color. For example, were his parents also blue? Did he have any siblings tha…
A tour inside the vampish G450 of @sandracorinna #sckaviation#gulfstreamG450
How much did it cost you to do the complete airplane? Over 5.5 million? Wow, wow, wow! I mean, you like it? It’s amazing! I don’t know if I feel like James Bond or Dr. Evil; it’s unbelievable. Catwoman? Oh, Catwoman! Sorry, tell me about it. I went for …
Pink Dolphins Are Real—and Disappearing From Hong Kong | National Geographic
[Music] Well, the Chinese white dolphin is a long-term uh resident of Hong Kong waters, so it’s part of our natural heritage. They are quite symbolic in our marine environment because, you know, they’re very charismatic, and a lot of people love their app…
All in for Education Livestream with Sal Khan
And she started using the printing out transcripts of Khan Academy - and get-and giving him these sheets of the stacks of paper when she visited him in prison. Through just the transcripts, Jason was able to start realizing that he, you know, in school, h…