Not financial advice
Some of you know I’m a big BB bull on $BB
I love the stock, I love the company, I love John Chen, but it’s finally clear why BB has been moving the way it has, in tandem with GME
Prem Watsa is a huge BB investor and owns a large stake
Guess who Watsa has beef with? Steve Cohen, the guy supporting Melvin in GME, the final boss so to speak of Point72 with deep ties to Citadel
Watsa vs Cohen beef
These are billionaires in financial warfare
Steve Cohen’s tried to kill Watsa’s Fairfax fund. In turn killing Blackberry. Cohen’s group are the hostile players with MASSIVE capital that have been punishing BlackBerry for years
It’s obvious now why BB SP has been so low in the market. It’s because Steve Cohen has tried to squash it due to his beef with Watsa. Same thing they’ve been doing with GameStop, but BlackBerry is more personal for Cohen
Don’t believe me? Look at the daily chart for GME and BB
GME had its first squeeze on Jan 13th, from $20 to $40. 100% gain. This was an astronomical loss for Melvin, who is backed by Cohen
Guess when Blackberry began its epic run? Check the chart... Jan 14th, MASSIVE green candle
December 22nd, random and short BB surge out of nowhere, was so random it shocked me as I thought it might even halt for news. The move faded.
Check GME chart December 22nd, same day GME posted its first big power move from $16 to almost $20. Again Cohen group taking the edge of BB and moving it to GME. Clear as day now.
This BB surge is Cohen’s group backing off their BB short, pushing the price up, and shoring up enough funds to move to GME which was hemorrhaging HUGE outflows. Retail and momentum exasperated this move in BB
This is so G*d damn obvious now in hindsight. This is why BB has been moving in tandem with GME
This movement is not organic, has nothing to do with fundamentals, or even Blackberry itself!
This is a war between Cohen (Point72, Citadel, Melvin) and anonymous long hedge funds + retail. These anonymous long hedge funds are either using retail or are siding with retail. In the end, funds don’t give a sh*t about anything besides profit. So be careful, they don’t care about sending any message
Investing in BB right now is investing in Cohen losing his shirt in GME
I know I’ll get hated for this but it’s true and needs to be said
CONSIDER:
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Deleverage, get off margin, don’t YOLO
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Hedge with puts
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Scale some out
You’re investing in between a financial tug of war that runs deep and is directly tied to the outcome of GME. You are not investing in fundamentals of BlackBerry right now! If Cohen uses political leverage which it looks like he has already, stabilizes his position in GME, he will go on the offensive and come back for blood in BB. Just be careful. This is crazy stuff.
Edit: LOL this place has gone wild and become an echo chamber. F*ck it, I hope Cohen gets destroyed and jailed, TO THE F*CKING MOON BOYS!!!!