Melvin Capital Shut Down… explains DDOG an

Hey all, kinda OT but the other day I wondered if someone blew up that owned DDOG because it swung way down and then back up intra day.

Story on CNBC just broke that Melvin is closing shop. They owned 2.5 million DDOG shares and 1.5 million BILL

Do we invest based on bounces after funds unloading? No but this feels similar to the covid lows where anything SaaS related got crushed indiscriminately and then everything rallied back hard.

Dunno if that’s what will happen now but boy does it feel like a good opportunity to be buying DDOG, BILL and others if we truly are long term investors.

Long DDOG, BILL, and Saul’s Board. Hang in there everyone!


Someone posted about this a few weeks ago. It was off-topic so it was deleted.

Here was my reply:…

In general, I agreed that most of the drop in price in BILL, SNOW, DDOG, was due to Melvin liquidation. I thought it was over by the start of this month, but it evidently wasn’t (or someone else liquidated too), so sadly I didn’t risk-manage.

In any case, this factoid makes me even more confident that our companies are oversold here. Once the market volatility stops (as they did in the latter half of March), the stock prices should bounce quickly.