Dumb Money

GameStop

Netflix has just dropped Dumb Money. This movie tells the story of the 2021 fight over the video game company GameStop. This battle began when some Wall Street insiders tried to takeout GameStop by shorting its stock. They viewed GameStop as the next Blockbuster, a zombie company operating under an out-of-date business model. They were stopped by a rag-tag army of small investors, who drove up the company’s stock price. The insiders were betting that GameStop’s stock price would go down. However, the small investors were buying up GameStop’s stock, causing its price to rise, which caused the insiders to lose a lot of their own money when their margins were called. The film’s title comes from the derisive name that Wall Street insiders label these small investors with. They are looked down on and viewed as prey. This story plays out against the backdrop of the pandemic, so there are a lot of Zoom meetings. Dumb Money is similar to another movie about Wall Street, The Big Short. That movie was about the 2008 Great Recession. In that movie there were more losers than winners, but in this movie the good guys win.

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