Uber's lockup expiration could 'hobble the entire market' even more than Beyond Meat, Jim Cramer warns

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Uber's lockup expiration could 'hobble the entire market' even more than Beyond Meat, Cramer warns

, which means that those shares will be authorized for trading on public markets. That's in addition to other initial public offerings in the queue.

"When you have billions of dollars of stock entering the market without a natural home, you better believe the averages will come under pressure," Cramer said. "These lockup expirations and IPOs [are] going to take their toll, unless a flood of new money comes into the stock market. I hope we can absorb them without too much pain, but hope is not part of the equation."expired on Tuesday, and the stock tumbled more than 22% during the session.

Beyond Meat would have seen an even larger fall had the company not reported a strong quarter the previous day, Cramer said. "The market's being flooded with new shares of Beyond Meat and the supply overwhelmed the demand," the "Mad Money" host said. "I think it could have further to fall because even here it seems overvalued to me."

Cramer said he's "concerned" because lockups will also expire for many other businesses that made their market debuts in the first half of 2019.

 

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Tell us how, not a hunch! UBER has .26% of float in index funds. BYND is .8% hardly enough to make a blip. Maybe mutual funds, biggest position in any fund is less than 3%.

There’s got to be a “financial engineer” out there that can arrange a financing to buy all the stock back. It seems to work for established companies. 😎. C’mon Squid. Step up!

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