Market debut of AI company behind Claude chatbot will be one of largest in US history, a test of its financial viability
Anthropic has publicly filed for a stock market listing, one of the largest debuts in history. The company’s float on the US market is likely to be a high-water mark in the multitrillion-dollar AI boom and a test of its financial viability.
Analysts and investors have valued the San Francisco-based company, founded in 2021, at more than $1.5tn. The company, which will will list under the symbol ANT, confidentially filed with US financial regulators for an initial public offering in June.
Can you short an IPO? Like, this can’t go well at that valuation with all the writing on the wall.
To be clear, I’m asking this question because I know just enough about this level of finances to know I don’t know a fucking thing, but I also do see that reports show them burning cash like its actually incredibly toxic and must be disposed of with extreme prejudice.
So like, can you bet on the IPO failing and make some cash from it that way?
With the recent changes to the way IPOs work (signed sometime in 2008 or 2009 I believe), the point is never for the public to make money on an IPO. It used to be that you were “getting in on the ground floor” in an IPO. Now, by the time something does an IPO it is because PE investors are tired of holding the bag. IPOs are everyone’s exit strategy.
All of the “rapid growth” of a company now happens while it’s still private. Only the employees, owners, and PE investors make money with it working this way. Retail / public investors are left as the bag holders in a giant pump and dump scheme.
Oh, so after the last time they rigged it all and sipped champagne while people protested their retirement plans going up in smoke, they made sure the next time they did it they could take every last penny, too.
Disgusting.
You could buy PUT options. Pay $$$ upfront, and if stock drops you get to buy shares for low price, and sell them at IPO price.
Your max loss of the price of the contract upfront, so you can never get too wrecked.
Yes but you’d have to find a buyer yourself and write a contract to sell them shares - the brokerage won’t do that for you.
What you’re describing is roughly an options contract, which most brokers certainly will allow you to trade
It is exactly an options contract! But OP wants to write a short on a stock that isn’t on the market yet. Which brokers do you recommend that allow this kind of trade?
Kalshi lol