Short-Selling In 2021: Beware The Crowded Trade, And Eyes On Nvidia

"I'd rather short a real company than a fraud or a meme stock." Akram's Razor made this case on a recent Twitter Space, and we unpack the point on today's episode of the Razor's Edge. In a year when many short-sellers have been run over by trains, and have the AMC and GME shaped scars to prove it, betting against a popular, universally loved name may actually be safer. We go over Akram's historic approach to shorting, how that has to adapt to the current market, what the line is between a meme stock and an ordinary dud, and Nvidia's current position, which is more precarious than the market seems to be pricing in. Topics Covered 2:30 minute mark – Akram's historic shorting approach vs. the current market 9:00 – Microstrategy (MSTR) hodlco vs. opco 15:00 – Pay attention vs. avoid meme stocks 20:30 – More tangible shorts 24:30 – Sketching out Nvidia questions 32:30 – Sketching out tech sector questions 39:30 – The risk of relying on management to warn about slowdowns and the value of contrarianism (in spots) 47:30 – Disputing numbers vs. disputing stories and the proof of stake risk 53:30 – The ARM deal and Nvidia’s meme potential 59:30 – Staying out the way of these memes 1:06:00 – Building the “you’re crazy” basket