• snooggums@piefed.world
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    7 days ago

    How are the investors making a profit when the company is being run at a massive loss?

    Probably selling their shares to the next grifer or something, I don’t know how the stock market casino actually works.

    • Botzo@lemmy.world
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      3 hours ago

      Yes, the bubble is a pure speculation (growth) game. As long as the new shiny makes more people want in on the stock (public or private) continually, share prices grow and the company has continued runway.

      Eventually, private equity exits with an IPO and the public gets a chance to be left holding the bag too.

    • abbadon420@sh.itjust.works
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      7 days ago

      Yeah that’s basically it. They’re betting that they’re not holding the shares when the company falls. Sometimes they are actually betting the opposite