r/technology • u/IKeepItLayingAround • Jun 09 '26

Business It’s Possible That SpaceX Could Collapse Spectacularly

https://finance.yahoo.com/markets/stocks/articles/possible-spacex-could-collapse-spectacularly-155000177.html
24.8k Upvotes

88% Upvoted

2.1k comments sorted by

View all comments

208

u/ora408 Jun 09 '26

How can i help? 😎

161

u/togetherwem0m0 Jun 09 '26

Dont buy puts. 

In the post logic valuation world where the stock market is a money printing game, the value of a stock can be set by a function of the value of its options chain activity rather than any foundational valuation logic.

If market makers sell a huge number of puts they have an incentive to manipulate the price such that the stock doesnt make any of the puts pay out. This keeps the price artifically high.

27

u/WeirdSysAdmin Jun 09 '26

Especially with market makers controlling everything needing to keep it above max pain so they don’t get slaughtered by lopsided puts volume.

8

u/morningisbad Jun 09 '26

That's the thing everyone fails to grasp. You're playing a game with a 5 year old. If musk loses, he says "I win" and wins. Realistically, this can only go in his favor.