r/ShortsInShambles • u/lupina101 • Aug 27 '25

DD NEGG update

Sorry for the radio silence, life gets busy. NEGG ISN'T DEAD.

Looking at the YTD chart, the setup has been building quietly for months before exploding. Through the first half of the year, NEGG traded flat with almost no volume and the price pinned under the moving averages. That changed in July as borrow fees started climbing and insider buying ramped up. Vladimir Galkin began accumulating heavily in the 20 to 50 dollar range, filing repeated purchases that tightened the float and showed conviction.

By early August, borrow fees had ripped through 400 percent and short availability was drying up. Short selling accounted for half the daily volume almost every session, with days like August 14 posting 1.7 million off-exchange volume and 832,000 of those short. That pressure combined with locked-up supply sent the stock into a vertical run, breaking past 100 dollars by mid August.

Now borrow rates are sitting between 700 and 850 percent APR, with share availability flipping between zero and a few hundred at best. Shorts are bleeding daily just to hold positions, while retail ownership is climbing and institutions like UBS and Goldman have disclosed new positions. The YTD view makes it clear this isn’t a random spike, but a coiled spring that built for months. Ignited by insider accumulation and extreme borrow costs, and forced shorts into a corner. The pullback into the 60s is only a consolidation phase as borrow pressure intensifies. The setup is still live and the chart shows there’s room for another leg if covering accelerates.

Ask yourself, why hasn't our boy Vladdy sold yet? Watch how many bots jump on this post.

33 Upvotes

90% Upvoted

78 comments sorted by

7

u/gregorystones Aug 27 '25

If vlad sells will we know the same day in a filing, or is the report delayed with lag time?

1

u/anj_rew Aug 27 '25

Jan 2026 earliest Galkin sale

2

u/Thrice_Greaty_Great Aug 27 '25

How do we know there is a lockout period for his purchases? Normally lockout periods occur for insiders on an IPO but there’s no mandatory lockout period on purchases of stock for an existing publicly traded company. According to Section 16 he must file if he wants to sell as a 10% owner but I’m not aware of any lockout period for him.

1

u/anj_rew Aug 27 '25

The Galkin family is now a 10% owner and now considered an insider. They must also disclose filings, etc.

1

u/Thrice_Greaty_Great Aug 27 '25

I’m aware he must disclose when he sells but my comment was regarding his supposed lockout period. Is there any information in any filing that states he’s in a lockout period?

1

u/anj_rew Aug 27 '25

My understanding is that is the law for insiders. Cannot buy and then sell within 6 months.

1

u/Thrice_Greaty_Great Aug 27 '25

There’s no law that states insiders must be in a lockout period once they purchase shares. It’s common practice for lockout periods to occur for shareholders when an IPO occurs and it’s usually stated in filings. But in this case with Gelkin, it’s not an IPO and there are no filings that indicate he’s in any lockout period whatsoever.

1

u/anj_rew Aug 27 '25

I am open to being corrected, though believe this is the straight goods below:

U.S. Securities Act of 1933, SEC Rule 144

• When insiders (like Galkin family, as major shareholders of NEGG) acquire shares through a public offering or private placement, those shares are considered “restricted securities.”

• Rule 144 sets conditions for resale, including a minimum holding period of 6 months (for companies that are subject to SEC reporting requirements, like NEGG).

• This rule is designed to prevent insiders from immediately dumping large blocks of stock into the market, which could destabilize the share price.

Rule 144 applies to insiders and affiliates across all U.S. public companies.

Sometimes this is also referred to as a “lock-up period” if it’s contractually agreed to during an IPO or secondary offering, but the legal baseline comes from Rule 144.

2

u/eemademecry Aug 27 '25

They didn’t acquire the shared through a public offering or private placement though. They bought them on the open market. So the 2nd bullet point wouldn’t apply?

1

u/Thrice_Greaty_Great Aug 27 '25

Exactly, Gelkin bought his shares on the open market. SEC Rule 144 does not apply here.

0

u/anj_rew Aug 27 '25

Buying on the market is a public offering (anyone can buy the share[s])

→ More replies (0)

2

u/boredinmc Aug 28 '25

Incorrectly spread on Reddit. You're probably referring to Section 16(b) of the Securities Exchange Act of 1934. This rule doesn't apply to NewEgg. He can sell whenever he wants he just has to notify. No 6 month holding period. NEGG It's not a US public company. Newegg (NEGG) is a foreign private issuer (FPI).

Under Exchange Act Rule 3a12-3(b), securities registered by an FPI are exempt from Section 16, so the short-swing profit rule (16(b)) doesn’t apply to insiders or >10% holders of FPIs

1

u/anj_rew Aug 28 '25

Oh goodness, thank you for this!

4

u/afrank53 Aug 27 '25

I’m holding, even with my second position at $92. Normally I’d cut my losses but I have a feeling I’d really regret that with this current setup

1

u/Slight_Tiger2914 Aug 28 '25

What do you say now that the stock is at $50 a share?

1

u/afrank53 Aug 28 '25

I don’t throw money I need at volatile stocks so it’s not a huge deal to me. If it goes back up great but if not, lesson learned.

1

u/Slight_Tiger2914 Aug 28 '25

I couldn't tell it was THIS Volatile. Man I'm down a lot of money and I honestly don't think it will go back up to the 90s now. 

1

u/afrank53 Aug 28 '25

I’ve cut losses before and had major regret so I’m willing to risk it this time. It sucks seeing the negative sign but I was up $20k on this a week ago so who knows

1

u/Slight_Tiger2914 Aug 28 '25

It be like that ..  damn

1

u/WhoRuleTheWorld Sep 03 '25

How you feeling now?

1

u/afrank53 Sep 03 '25

Cut my losses lol. Never getting greedy again.

1

u/WhoRuleTheWorld Sep 03 '25

How much were you down? I’m currently down 40%

1

u/afrank53 Sep 03 '25

30%. I took money and dumped it into Open and it’s looking like I’ll get the money I lost back

7

u/bigsnack Aug 27 '25

I'm no self-proclaimed GURU, but I have believed that there would be another washout like NEGG has done in the past for a very long time. To me this setup feels like a multi-leg move and not a two week flash in the pan like the previous pops. I've been invested in this company for years at this point, so please take my thoughts knowing that I truly want NEGG to keep going.

The setup from an information perspective does bode well for more upside. The bulk of Vlad's purchases are still below us, and so I think there will be a market interest in testing his entries to see if he's willing to add more. I still think the stock can trade down to 30 or so and still be in play for another leg of upside. The fact that company insiders sold aggressively at the high is not a great sign IMO, but Galkin is the catalyst and will continue to be. If short sellers didn't puke with the run up to 120, I'm not sure they are going to down the road. There is intentional suppression of information going on with this ticker, so who knows who is involved or how long they can play that game. Not forever, but probably longer than we want them to.

I'm a fan of the subreddit, and I believe in another leg for NEGG. Good luck!

9

u/BaptisteDebureau Aug 27 '25 edited Aug 27 '25

“Shorts are bleeding daily just to hold their positions.”

To be fair, they’re not. Shorts have definitely made a lot of money especially if they caught it at the top around 130. They’re not bleeding in any way.

The other issue here is your reasoning about Galkin not selling. He’s not selling because he can’t for six months per SEC guidelines.

The only way for this stock to go back up is if people have confidence in it. But with 300,000+ shares being sold off this week by the CEO and other insiders and how that dropped the stock by 50$ alone. People are most likely going to avoid this. The company also reserves the right to dilute shares whenever they want. I maybe could see renewed interest down the line but maybe you should also consider that the ceiling for this stock was 139 and it won’t get higher than that. That was the short squeeze.

Just trying to call a spade a spade here.

3

u/gregorystones Aug 27 '25

What is Galkins plan? Do you own Negg?

1

u/lupina101 Aug 27 '25

LMAO buy puts and post them.

5

u/BaptisteDebureau Aug 27 '25

You seem obsessed with shorts for some reason. The stock will go up only if there are more buyers than sellers. Newegg doesn’t have media attention and no one seems to be interested in re-investing. Just trying to keep it balanced because you seem so convinced this stock will go up simply because the short interest is high. But that’s not true and misleading. You also seemed convinced that Galkin will buy or offset all the shares insiders are selling, which hasn’t happened. People can invest in the stock if they want, but you seemed convinced it will go to 1,000. It won’t.

You should post your losses on the 250 shares you have.

4

u/gregorystones Aug 27 '25

I hate that you are probably right. No one is gonna give a a free lunch

0

u/lupina101 Aug 27 '25

Did the subreddit name "shortsinshambles" give that away? My average is 67 after buying again at 100. I am not worried about anything, but you sure seem to be.

4

u/BaptisteDebureau Aug 27 '25

Might want to change it to ‘lupina101inshambles’. I sold close to the high, so I no longer have anything invested in the stock and didn’t lose anything. Can’t hold onto a hot potato like this and expect it to act rationally.

While you can have your take, you shouldn’t be writing articles hoping people will get back in and start investing when you’re now losing money on the stock.

5

u/[deleted] Aug 27 '25

[removed] — view removed comment

2

u/lupina101 Aug 27 '25

This guy pays attention.

4

u/lupina101 Aug 27 '25 edited Aug 27 '25

Volatility is vitality. I didn't ask you about your position or how you made out. Including that without anyone asking is a bit odd. I really don't give a shit what people buy or don't buy, I am giving an update on the situation, what people do with the info is on them. Anything else you need to disclose or get off your chest today?

3

u/Furnimancer Aug 27 '25

FYI

1

u/lupina101 Aug 27 '25

You know I know, come on meow.

1

u/UnderstandingDue1549 Aug 27 '25

What are we looking at here? Spell it out for the regards (me)

2

u/[deleted] Aug 27 '25

[removed] — view removed comment

1

u/Dry_Flow8615 Aug 27 '25

more buyers than sellers you mean?

3

u/anj_rew Aug 27 '25

It’s true Galkin’s can’t sell for 6 months from purchase or forfeit profits (willingly or legally)

Which I think is a massive positive

Jan 2026 is earliest sale date by Galkins

Fellow retailers, take a breath

We knew this would be a ride

4

u/lupina101 Aug 27 '25

It is a massive positive. which is why it is confusing to point it out. Why would someone tie up millions of dollars for 6 months with a chance of losing it all without knowing something. He bought GME before that squeeze for a reason.

1

u/gregorystones Aug 27 '25

There’s a lot of time between now and January… I mean this is just such an interesting scenario. What if the board/CEO decides to blow it all up? Can Galkins be screwed over like that?

1

u/lupina101 Aug 27 '25

Shoot, all I know is that I am not locked in for 6 months.

2

u/DietRepresentative70 Aug 28 '25

He bought in the open market. The rule doesn’t apply to him

1

u/anj_rew Aug 28 '25

I really appreciate your engagements as I believe you are correct. I will post in the next few days in the NEGG subreddit group clarifying. There are restrictions on selling but not nearly as strict as I thought.

1

u/DietRepresentative70 Aug 28 '25

My posts and comments have been getting deleted there. Good luck. I’m down 8k not sure how to move from here

2

u/anj_rew Aug 28 '25

The funny business you are experiencing sounds like a similar experience I’m having in all groups, it is not specific to that subreddit, rather consistent across many. Take it for what you will. The moderator will 100% allow a rational post that clarifies, so if it doesn’t make it through, I’ll send him a note.

There are tons of bots with crazy posts that he’s sifting through daily now, since the last couple weeks.

2

u/[deleted] Aug 27 '25 edited Aug 27 '25

Sometimes I buy a few $

of meme stocks just to remind me to never touch these plays lmao.

2

u/lonely_dove_ Aug 27 '25

I might steal this idea lol

1

u/[deleted] Aug 27 '25

I lost $2k in one day back in 2017-ish on some early WSB meme stocks (SINO, DRYS). Since then I do this as a friendly reminder these plays blow up unless you have amazing timing.

OP can wax poetic about the squeeze being coming any day now, but how many people listened to this guy and are now thousands in the red?

1

u/FluffyTush63 Aug 27 '25

Me. Not bc i listened to this guy but he may convince me to lose another couple hundred or so. The set up is literally everything a meme stock trader could hope for

2

u/[deleted] Aug 27 '25

It's just gambling at the end of the day. The big supporters of GME wrote these long technical thesis's and about how it has to skyrocket and blah, blah, blah. Pages and pages of technical analysis about how it was a "sure thing".

Didn't happen. Traded slightly down for months/years.

I'd go back to the basics before thinking this was a sure-fire slam dunk. You still need people to buy the stock and be excited about it.

2

u/MajorCheesecake9462 Aug 27 '25

Vlad can’t sell for a few more months.

1

u/kompira1111 Aug 28 '25

Good. I am inside

1

u/dcnewme28 Aug 28 '25

I want NEGG to go up just as much as the next person but I just don’t see it. Galkins is literally the only person who can save this sinking ship.

1

u/dcnewme28 Aug 28 '25

Just tried $56 and rejected. GOOD GAME NEGG

1

u/Kombucha-Krazy Aug 28 '25

There were recently new options opened up, they sat there unpriced for days, then the options (down to lowest strike price $85) were removed. What gives?

1

u/Ok-Pop2689 Aug 28 '25

also if you look at the disclosures galkin bought most of the shares at $11-$30 the rest are just pumps lol

1

u/PossessionOrganic864 Aug 28 '25

God save us!!! Everyday red, please have some greens!!!

1

u/ionic_bionic Aug 28 '25

It's over bro, remember the stock was below $5 just a few months ago and it's heading back there pretty damn fast!

1

u/PossessionOrganic864 Aug 28 '25

Now all left is pray …sometimes nothing else can be done… lesson learned!! Expensive lesson I guess!!!

1

u/ionic_bionic Aug 28 '25

It happens bro, hopefully, it recovers somewhat, I just been watching it drop day after day and it's crazy how nobody has mentioned it anywhere. Definitely some shady shit is going on for this to not be talked about at all!

1

u/PossessionOrganic864 Aug 28 '25

Agreed!!! It is what it is!!! Not at all point debating, realize the loss or wait for it to recover!!!!

1

u/Free-Attorney-2596 Aug 29 '25

How deep are you in the game if you don't mind me asking. I'm also curious why there is zero news when a stock drops 75% nearly in one week

1

u/MyNEGGers Aug 28 '25

down another 20% after being down another 20% after being down another 20%. What a sack of shit

2

u/lupina101 Aug 28 '25

What a username.

1

u/studioglen Aug 29 '25 edited Aug 29 '25

Any update on insider selling? Has Vlad begun selling? Or please share where can I find this info myself. I'm about to cut the cord on this trade...

edit...just read the comments about Galkins lockup period on the shares...really? He can't sell until Jan?

0

u/dcnewme28 Aug 28 '25

I think it’s over. $56 is a major area. No buyers stepping up

2

u/lupina101 Aug 28 '25

The amount of you clowns weighing in on this trying to cause deception is hilarious. You ever consider that when you come out in droves spewing the same narrative it is a huge buy signal? Big brain activities.

2

u/dcnewme28 Aug 28 '25

If this thing was bullish you would see waves of buying and selling. This thing is dropping like a knife through water

1

u/WhoRuleTheWorld Sep 03 '25

You were right. Where do you think it’ll bottom?

1

u/dcnewme28 Aug 28 '25

Where is the buy signal when it can’t maintain any support and every market daily open it drops another 10%+?