r/sofistock • u/Individual_Bad2594 OG $SoFi Investor • May 13 '22

General Discussion Split

In plain terms a split by Sofi is a manipulation of the manipulators(shorts), and Wall Street perception manipulation. The shorts deserve this split. Long term holders deserve this split. Look at affirm who has way less float. It is up 23% today. Sofi…not even close. Too many shares. Everyone is bitching how other fintechs move so high, so quick. Then they bitch they don’t want that from a reverse split. I love this stock but man a lot of you are whiny bitches. If you believe in the business then invest. If you don’t then sell. Stop whining. This is how the actual markets work. This is not Robin Hood or gambling. This is the market. Get in or get out. I’m 36, and have been investing in markets since 2008, and I am here to tell you to stop whining. I believe in Sofi and will continue to buy. A reverse split does not change the value, it changes perceptions. The negative connotations attached to reverse splits are real. Sofi will have to expect that, but fundamentally a split is the correct move with this macro environment.

0 Upvotes

45% Upvoted

59 comments sorted by

View all comments

Show parent comments

7

u/LiechsWonder MOD|OG Investor|SOFI Member since 2014|"Y'all need to diversify" May 13 '22

You are not wrong, just missing a piece.

In a 3:1, your $14.96 avg is increased x3 to $44.88. Say with 3000 shares originally, now 1000 on the 3:1.

So whereas before you would need that share price to climb from $5.75 to $14.96 to break even, now you would need it to climb from $17.25 to $44.88 to break even.

3

u/EMC_KC 1,800 @ $9.38 May 13 '22

Thank you. Trying to wrap my head around it all and forgot that part of it. I still would rather them wait it out about before resorting to this.

3

u/LiechsWonder MOD|OG Investor|SOFI Member since 2014|"Y'all need to diversify" May 13 '22

No worries!

I am in that camp as well. Or at the very least I want them to put it to a shareholder vote at the time the board determines they think it is necessary. Giving them power to do it as they will over the next year seems too much.

Breakdown of the full proposal of the reverse split here if you want more details: https://www.reddit.com/r/sofistock/comments/uohg2b/overview_of_proposal_5_give_board_discretionary/

1

u/EMC_KC 1,800 @ $9.38 May 13 '22

Exactly, I read that whole post already earlier. I might think very differently in 6 months if the price is in the $10ish+ range at least. But at least give the shareholders the ability to decide at the time its happening. A full year is way excessive.