Technology

59742 readers

2229 users here now

This is a most excellent place for technology news and articles.

Our Rules

Follow the lemmy.world rules.
Only tech related content.
Be excellent to each another!
Mod approved content bots can post up to 10 articles per day.
Threads asking for personal tech support may be deleted.
Politics threads may be removed.
No memes allowed as posts, OK to post as comments.
Only approved bots from the list below, to ask if your bot can be added please contact us.
Check for duplicates before posting, duplicates may be removed

Approved Bots

founded 2 years ago

MODERATORS

255

Mark Zuckerberg made $29 billion this morning after Meta stock makes record surge (www.cnn.com)

submitted 10 months ago by L4s@lemmy.world to c/technology@lemmy.world

60 comments fedilink hide all child comments

Mark Zuckerberg made $29 billion this morning after Meta stock makes record surge::Mark Zuckerberg’s net worth increased by more than $28 billion between your morning coffee and your lunch break.

you are viewing a single comment's thread
view the rest of the comments

[–] ExLisper@linux.community 3 points 10 months ago (3 children)

On Friday, shares of Meta (META) jumped more than 20% on the news of a quarterly dividend of $0.50 per share to be paid out on March 26 to shareholders of record as of February 22.

Let me get this straight: Meta said that for every stock you have month from now you will get $0.50 two months from now and people started buying like crazy. So basically people are betting that they will be able sell the stock right after Feb 22 before it loses more than $0.50? Am I getting this right? This system is so fucked up...

[–] kromem@lemmy.world 4 points 10 months ago

No, the idea is that a stock that previously never provided a dividend now suddenly is.

This means that now their stock may meet criteria for certain types of institutional investment holdings that look for or require dividends.

At this point, a lot of the stock market is traded less on "the market thinks this company will do well" and more "my algorithm thinks other algorithms will value this stock in a given way."

For example, IIRC the majority of trade volume is after hours, meaning that while the markets are closed to main street investors is when the value of companies is really being decided between brokerages and institutional investors.

While not entirely a rigged game because companies actually doing well does tend to result in net price increases, a significant portion of the money to be made in the stock market is unequivocally rigged.

[–] Linkerbaan@lemmy.world 3 points 10 months ago

The stock market is a ponzi scheme. More news at 11.

[–] Skates@feddit.nl 2 points 10 months ago (1 children)

So basically people are betting that they will be able sell the stock right after Feb 22 before it loses more than $0.50?

Not necessarily. With all it gained, they can even sell tomorrow. Or at any point before it takes the next massive hit.

[–] ExLisper@linux.community 1 points 10 months ago

I mean, yes, you're right but nothing about the company changed. So people betting that the stock will go up are basically betting that people will buy it for the dividends.