LUCKIN - Chinese Starbucks. Very low but expected to bounce

Luckin Coffee Inc.

Ticker: LKNCY

Was on the verge of bankruptcy, but possibly looking to have a decent rebound. Would be great to have the chance to invest whilst it’s cheap.

Thanks
J

No OTC stocks here and they’ve just filed for bankruptcy

https://www.ft.com/content/a6c18a77-d5e2-4d5b-af09-35c504908bc3

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Didn’t realise it was OTC thanks

…and did you realise it was in bankruptcy? Oh wait! I forgot the new way of investing/trading: pile on near bankruptcy companies destined to oblivion: Hertz, GameStart, etc.

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Don’t think they have the best form in the past…

GME probably a better bet

Yes I understand where everyone is coming from, but just take a look at this, its food for thought.

I am fully aware of the bankruptcy, it was just an idea that’s all. I’ve done my own research I just somehow had missed the OTC. We are all learning. There is a chance the price could drop to 0, but if you check now, even after the annoucment it is still at around $7.

Someone requested Blockbuster the other day :joy::joy:

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wait, wait, I want Arcadia, Enron and Lehman…please !

Is there something wrong with investing in successful companies? I’m certain there are people coming here from 32 red casino.

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Once upon a time, them successful companies were only small companies. If you’d have invested in apple or amazon before they became “successful” you’d be doing allright.

Of course diversify your portfolio. But there isn’t anything wrong with investing in a company that isn’t deemed “successful”. That’s apart of the game, that is the stock market.

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I guess Microsoft did step in and save Apple 20 odd years ago, but I do not believe Microsoft and Apple were defrauding its investors.

FT quote: Dec 2020

“US regulators have hit Luckin Coffee with a $180m penalty after finding that the scandal-plagued Chinese chain altered bank records and set up a fake database as part of an effort to fabricate its accounts.

The Securities and Exchange Commission on Wednesday charged the company with defrauding investors by materially misstating revenue and expenses, inflating its growth rates and understating its losses.”

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It still stands that investing in any company is as fair as investing in “successful” companies. And even so, investing in the “successful” stocks brings with it some gamble and risk, albeit, not as much.

By microsoft stepping in, do you mean Bill Gates investing in a company that was not successful?

Edit: Though with your latter on Luckin, it does seem a big gamble. Every investment should come with research before hand. I was merely generalising that there is nothing wrong at all with companies that aren’t successful and that volatility is good a thing.

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Anyway, the point is companies that are convicted of defrauding its own investors, is a very different scenario to simply being unsuccessful.

There are better people out there doing morally better things. (Like FreeTrade :v:t3:)

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I agree but that wasn’t your point. You implied that overlooking a successful company for another company was merely a gamble and nothing more.
And, thus, people shouldn’t venture from successful companies.

Defrauding investors wasnt mentioned and is an entirely different debate, in which I would 100% agree with you. It would be interesting if you knew about the defrauding before the statement.

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