For several weeks now, I’ve been ranting about the wild speculation in low priced SPAC stocks that have run rampant on through apps like Robinhood and M1 finance.
These SPAC stocks are popping up all over wall street and I keep paying attention to the new tickers being added to yahoo finance or CNBC.
These are stocks I add to my watch list to keep track of what I have been anticipating for awhile!
I am building with frustration by these SPACs do to the nature of how there being approached by investors and it becomes a bubble very fast!
I’m frustrated because they appear to be getting into these stocks based on tips on message boards where individuals can manipulate these markets for their own cash gain and at the expense of there listeners. Low float companies take much less capital to rally and a lot less pulled out to drop!
I Interviewed the “king of the penny stock market,” as he was on his way to prison for 40 months for racketeering and money laundering ironically through similar methods.
Since I was hammering away at his penchant for ripping off unsuspecting senior citizens while he claimed I didn’t know what I was talking about. (During a commercial break, he made that quite clear in harsher words)
Corruption comes with two things, first people who follow greed over morals & two, people who get attracted to greed from people who are immoral!
Like others who would follow him, pushed garbage stocks on a naive public and ultimately paid a steep price for it, ending up in jail very late in life. Leaving thousands with SPAC related stocks that merge into garage type companies at crazy premiums.
SPAC stocks are the same type of speculative fever with penny stocks, gripped individual investors who have missed big up moves getting sucked into a disaster of a long term investment!
What should Investors Know About SPAC Stocks?
Investors shouldn’t be here, They should be traders. SPAC stocks usually acquire very cheap companies in a bidding war placing the premium payment onto the share holders. Intern making the purchased company owners insanely rich for companies that hardly have proof of concepts.
You may recall one company called NKLA believe me if you thought TESLA was over valued this is next level game for traders. It is likely anyone buying in now at these premiums will be waiting for a decade to see any kind of real profit if the company even lasts that long!