The Stonk Movement Is Back: Meme Stocks Are Flying
Jim Cramer is not going to like this. Meme stocks seem to be making an aggressive comeback, with AMC Entertainment (NYSE: AMC), Bed Bath & Beyond (NASDAQ: BBBY), and GameStop (NYSE: GME) shares gaining big on Monday, following last week’s jump.
AMC Entertainment went up 16% on Monday and is up 70% in the past five trading days, Bed Bath & Beyond spiked 40% just on Monday and is up by a whopping 124% in the last week, while GameStop Corp went up 12% Monday, gaining 30% in the last week.
These consumer stocks seem to be receiving renewed interest from the apes on Reddit’s r/WallStreetBets. “Apes” are the fans of these meme stocks. These retail investors initially banded together in early 2021 to sort of smack the butts of the big guys (e.g. the institutions and the professional “hedgies”) who make money from betting against stocks of these struggling companies by short-selling them.
Apes did not only smack butts, but they have also done well for these companies: AMC is down 5% this year, but that’s okay because the stock jumped 1,200% last year. GameStop follows a 700% increase in 2021 with 20% so far this year. Bed Bath & Beyond has yet to sit at their table though as it’s still down over 20%, but based on the recent surge, the apes will likely remain steadfast.
Information for this briefing was found via Twitter, Reddit, and the sources mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
