You have probably heard about (NASDAQ: FFIE) Faraday Future Intelligent Electric Stock. It has been going wild all over Reddit and X. Now the news is starting to expand into YouTube and TikTok too. So what is happening?
FFIE stock caught the masses’ eyes on these platforms due to its heavily shorted stock, which is 95% shorted. Why is it being manipulated? That is the first thought that people had. What really happened to Faraday Future Intelligent Electric, and why are the hedge funds betting short on it? Everyone considered this manipulation and an attempt to drive the company to bankruptcy. The news started spreading all over these platforms, yet to be covered by mainstream news. The stock price is still considered very low, especially given that it was as high as over $1,000, $2,000 per share.
One thing we noticed for sure is that people from all over the world have gathered to support this company, based on their thoughts of it being manipulated by the hedge funds. On its early rise, the stock faced many halts, which made the masses even more furious and motivated to buy the stock. This proved to them that there was something wrong going on, which made them believe even more in what they were trying to achieve.
We came across heavily invested people in the stock who were down hundreds of thousands of dollars. When we reached out to them, they simply answered us with, “We believe in this, and we like the stock,” which amazed us with how dedicated these people are to FFIE – Faraday Future Inc.
What seems to us is that this is just the beginning of something we would call Market Awakening. We even came across people sharing information and digging into what is really happening behind the scenes, such as how many stocks are being shorted on a specific day, how many are left, and much more information that they are providing to the people. Then there it was, the Truth, and it seems everyone is fighting to keep the price above $1 for 10 consecutive days to prevent its delisting from the market.
Something we noticed that has been there for a long time: it feels like Faraday is talking directly to its shareholders—something we see in the pictures they have. For example, it’s as if Faraday Future Inc. is screaming out loud,
“WE ARE FOLLOWED BY A STORM!”
Could that be referring to the shorters?
Something we noticed that has been there for a long time: it feels like Faraday is talking directly to its shareholders—something we see in the pictures they have.
For example, it’s as if Faraday Future Inc. is screaming out loud,
“WE ARE FOLLOWED BY A STORM!”
Could that be referring to the shorters?
You might be wondering now, what is the company doing during these times? Faraday Future Inc. seems to notice what is happening, and they have announced their Fourth Quarter and Full Year 2023 Earnings Webcast on Tuesday, May 28, 2024, at 5:00 p.m. Pacific Time (8:00 p.m. Eastern Time).
This means the company is looking further and fighting for its existence along with its new shareholders from all over the world.
How long will this continue? This might be the end of what the new shareholders call manipulation—a new start for the company as things are looking in their favor. Only a few days are left for the company to deliver its 10 days of trading above $1 per share.
What will happen if the new shareholders prevent the delisting of (NASDAQ: FFIE) Faraday Future Inc.? Things will start looking better for the company and the new shareholders but will not be as good for those who shorted it heavily. The Faraday Future team seems to be taking this seriously and is working to bring their company back to life.
You might have noticed a term being used on the social platforms we mentioned earlier, and you will find that all the new shareholders are using a term to call themselves FFIE APES. It seems like these APES are growing more and more every day, as if someone opened the jungle doors and showed them the way to the stock market.
APES Coming out of the jungle?
APES Coming out of the jungle?
That was the truth of what is really happening with (NASDAQ: FFIE) Faraday Future Inc. What it seems like is that the people really like the stock.
What Are the Shorters’ Intentions Behind Shorting 95% of Faraday Future?
When shorters short 95% of Faraday Future, it means they are borrowing and selling 95% of the available Faraday Future stock with the intention of buying it back later at a lower price. Here’s a breakdown:
- Borrowing: Shorters borrow shares of Faraday Future from a broker or another investor.
- Selling: After borrowing the shares, shorters immediately sell them on the market at the current market price.
- Waiting for Price Drop: Shorters hope that the price of Faraday Future’s stock will decrease in the future.
- Buying Back: If the price of Faraday Future’s stock drops as expected, shorters buy back the shares at the lower price.
- Return: Shorters return the shares to the lender, pocketing the difference between the price at which they sold and the price at which they bought back the shares, minus any borrowing fees or interest.
By shorting such a large percentage of Faraday Future stock, shorters are betting heavily on the company’s stock price declining. If the stock price rises instead, shorters may face significant losses and may be forced to buy back the shares at a higher price to cover their positions, resulting in a short squeeze.
If Faraday’s new shareholders maintain their determination and choose not to sell, this could eventually become a headline in mainstream news media. Such attention could lead to increased demand for (NASDAQ: FFIE) stock.
Only time will tell where this new story in the making going to land.
Only time will tell where this new story in the making going to land.
FARADAY FUTURE Inc MEDIA
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