Question for Fintwit "quants": Can you come up with an unsupervised algo, a Bayesian scheme, or a recommendation algo whose output would be a list of targetable stocks by WSB based on WSB posts (Reddit's API). In a Bayesian setting, for instance, a prior could be "short float".
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That’s a viable option, although backward looking. By the time a stock is listed on WSB (numerous times), a good portion of its positive momentum/drift would have already been "realized". I am trying to see if we can systematically predict which stock will appear on WSB.
Beat you could do is screen based on characteristics that retail traders and r/wsb in particular like — eg momentum, high idiosyncratic vol, low share price, high short interest — but you would end up with many false positives (and you don’t need a Bayesian model to do it)