A Netflix documentary explores the financial conflict between Wall Street hedge fund managers and regular retail investors.
This three-part series reveals exactly what happened when Wall Street investors were confronted with a slew of everyday investors after trying to shorten their stocks in GameStop, a video game company.
It introduces us to figures from either side of this David and Goliath story. Expect financial professionals and everyday retail investors to hear from them as it tells the story of some of the people who made (and lost) huge sums of money throughout the GameStop saga.
If you were left wondering who was Roaring Kitty or is you wondering how much Wall Street investors lost at the start of the GameStop craze, please read on to get all of the answers.
Who was Roaring Kitty?
Roaring Kitty, a financial influencer on Reddit, was among the first users on the WallStreetBets subreddit to think GameStop stock was a good buy. After a while, he stepped away from the public eye.
Julia-Ambra Verlaine, a Wall Street Journal market reporter, was involved in the search to discover his true identity. On the other hand, she drove out to meet him for an interview. That evening, the Daily Mail revealed a story revealing the trader''s identity, so he finally agreed to speak with Verlaine for the Wall Street Journal. (opens in a new tab)
Keith Gill, a man who was considered a licensed securities professional after being sued for fraud for his role in the GameStop controversy, was revealed to be roaring Kitty. According to him, Keith''s initial investment was about $50,000, though by February 2021 his stocks would have been worth $35 million.
Despite his belief that the stock was a genuine good bet, the market didn''t agree with him. It was later reported that he had lost his financial broker license (opens in a new tab).
According to the documentaryKeith did not respond to interview requests, and the class action lawsuit against him was dismissed.
How much did Wall Street lose on GameStop?
On February 2, Vox (opens in a new tab) reported that short sellers who bet against GameStop lost nearly $13 billion on GameStop as of market close on February 1.
What was GameStop''''s highest stock price?
On January 27, GameStop stock prices sat at $354.83 per share according to ABC News (opens in a new tab).
Why were users dragged by Robinhood from buying GameStop stock?
The initial price decrease for GameStop stock came when Robinhood, an investment app, stopped users from buying shares in GameStop. In a blog post (opens in a new tab) on January 28, 2021, the company cited "recent volatility" as the reason behind its decision.
Robinhood''s position was that they had to keep a substantial amount of money on hand to handle everyone''s trade requests. Although sales on the app are near-instantly, it takes days to clear the payments, indicating that Robinhood is sending the money to customers until the trade is completed. Given that many people were interested in getting involved in GameStop stock and purchasing shares at higher and higher prices, Robinhood claims it was paying a low interest.
Several users were starting selling their shares because of their choice to reduce new purchases, indicating that the share price grew.
The last episode of states that the House Committee investigating the GameStop runup concluded that Robinhood had communicated with Citadel Securities in June 2022, although these conversations were not focused on turning off the purchase button.
What is WallStreetBets?
Wall Street Bets is a Reddit (opens in a new tab)thread dedicated to discussions about finance and security trading. It became a common feature throughout the entire GameStop short squeeze and played a significant role in influencing new investors to purchase shares in the company. At the time of writing, it has over 12.5 million subscribers.
Who produced Eat the Rich: The GameStop Saga?
Dan Cogan and Liz Carbus, both Emmy and Oscar winners, produced an executive arrangement, with Theo Love, which is now director.
A three-part series was made as a result of The Wall Street Journal Studios.
Who is Jim Cramer?
Jim Cramer is an American TV personality and journalist. He is a member of the CNBC Investing Club and the host of CNBC''s which air at 6 pm ET. According to his CNBC profile, (opens in a new tab) Jim "believes there is always a bull market somewhere, and he wants to assist you find it."
He is one of the many financial professionals who appear in a position where his skepticism about GameStop''s excessive stock price is stacked against WallStreetBets investors'' bullish strategies.
is available for purchase on Netflix.
- Best Netflix documentaries