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Warren buffet has $15 billion in apple is he allowed to

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Warren buffet has $15 billion in apple is he allowed to sell all that at once
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>>1835808
You can only sell as much as people are willing to buy. Hence trading volume.
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>>1835808
>is he allowed to sell all that at once

That would destroy Apple
>>
>>1835982
why

someone else would just own them instead
>>
>>1835984
Yeah but somebody dumping that many shares of a company at once would raise a red flag for a lot of investors who might take it as a sign to follow suit.
>>
>>1835982
No, but it would be extremely painful.
>>
>>1836046
4u
>>
>>1835984
>>1836002
picture this headline:
"warren buffet sells AAPL"
At any amount this sounds like a bad thing.
>>
>>1835808
Allowed to? Yes.
Should he? Not if he cares about the value of those shares.
Would he? God no.
>>
he could pull a soros/rothschild move.
dump the stock, cause the price to plummet, then buy back the shares at a much lower price than they were sold at. he'd be king of AAPL.
>>
>>1835984
>$15 billion of a companies stock is sold
>This will plummet the share price and people will panic sell, wondering why things are crashing down

Not rocket science m8
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>>1837671
No. ONLY if people are willing to buy the shares that Warren Buffet sells will the price of Apple collapse. If there is no trading volume Buffet can't sell all his shares.
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>>1836002
Is it the act itself of selling that drops price, or the general "stock psychology"?
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>>1836002
>>1836368
>>1837654
>>1837654
This is just retarded. Though it is to be expected from /pol/ brainlets attempting to day trade.

I'll try to make this simple (even though it is a futile attempt to educate /pol/ brainlets)...

Brokers always have their BID prices (for selling stocks) LOWER than their ASK prices (for buying stocks) in order for them to make a guarenteed profit. This will vary depending on trading volatility - if its high, then the spreads will be low, if the volaility is low, then the spreads will be high. That's basically their entire business model. Now, Warren Buffet only owns 2.5% of Apple currently. If there is enough TRADING VOLUME (that is millions investors buying and selling online) and he sells all of his $15 billion holdings at a particular BID price, then OTHER INVESTORS will simply own the 2.5% of his shares based on the respective ASK prices they buy the shares from their various different brokers. How this will affect the share price of Apple depends on these conditions:

1) If demand for Apple stock is GREATER than the one off act of Warren Buffet selling all his holdings, then the price will actually RISE because more people will simply bid UP the prices with the freed up 2.5% Apple Stock. Ofcourse there will be some retarded brainlets who will panic if they see Warren Buffet sell his stock, but again, if the demand for Apple stock is greater than anticipated, then no one will bat an eye once these brainlet realize their mistake and kill themselves.

contd...
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>>1837740
2) If demand for Apple stock is LOWER because of some bad earnings report or the Chinese Government seized Apple's main manufacturing factories, then you might get more investors than just Warren Buffet selling. This will collectively drive the prices lower and lower as remember - the bid price is always lower than the ask prices set by the broker. But who will be buying all this worthless stock being dumped, you may ask? The answer to that question is normies and apple fan bois, as they'll finally be able to afford the worthless Apple stock and dump their entire life savings in it.

3) How can Apple ever recover if (2) happens? Eventually normies will panic and sell their shares, by which then the big leagues like Banks and Hedge funds will buy up the stock at wholesale prices if they expect a big turnaround with Apple.
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>>1837671
What if it's just 1 entity buying that slice?
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>>1837743
If just a single entity immediately buys off all the shares that Buffet sells then the price will actually RISE due to the bid/ask spread (ask prices > bid prices)
>>
i bought $15,000 in apple stock when they split, around $91-$92 now its almost $140, i'll be selling soon.. might just sell off my profits and keep the rest. was planning on just keeping it for the next 20+ years though i dont really need the money and getting apple stock for sub $100 is pretty fucking good
>>
>>1837740
> Brokers always have their BID prices (for selling stocks) LOWER than their ASK prices (for buying stocks) in order for them to make a guarenteed profit.

Do you really think that's why the bid is always below the ask? Can you think of another reason?
>>
yes he could, probably in 2 or 3 days. AAPL has an average volume of like 30m. it would drop the price by a few $. actually it wouldnt have a great impact as long as hes discreete about it
Thread posts: 20
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