Market watchers familiar with the stock market are aware of the phenomena known as ‘meme stocks’. The term meme stock refers to stocks that become popular by spreading across the internet, resulting in an increase in price.
An unexpected change or catalyst is likely to prompt buyers to buy shorted stocks. As short sellers get squeezed out (getting their positions covered), the stock price surges quickly and significantly.
Meme stocks have become more popular in recent years. In January 2021, GameStop (GME) shares rose dramatically. In response to hedge funds shorting GME, WallStreetBets traders purchased stock in that company.
Meme stock prices are typically driven by online forums and social media platforms, rather than increased production. Over time, these stocks become overvalued as their value increases rapidly.
Some of the most famous meme stocks in recent months are listed below
GameStop Corp. (NYSE:GME)
The GameStop Corp. (NYSE: GME) went up by 0.87% in Monday’s trading session, a fall equivalent to $1.41 from the previous market close price. The lowest point that the shares touched during the trading session were $159.1601, while the peak of the day was recorded at a share price of $169.8799. GME finished the previous session at $162.52 according to the data provided by Barchart, while the trading volume was observed to be 1.57 million.
GameStop Corp. (NYSE: GME) share prices have increased by 1.74% over the past week, but are down -9.23% in the last quarter. Going further back, the stock’s price has gone over 231.10% over the last 6 months but is up 770.12% in year-to-date trading.
AMC Entertainment Holdings Inc. (AMC)
With over 86.75 million AMC Entertainment Holdings Inc. (AMC) shares trading Monday and a closing price of $35.69 on the day, the dollar volume was approximately 86.75 million. The shares have shown a positive weekly performance of 5.59% and its price on 08/16/21 gain nearly 6.63%. Currently, there are 507.19M common shares owned by the public and among those 448.56M shares have been available to trade.
THE VANGUARD GROUP, INC. bought a fresh place in AMC Entertainment Holdings Inc. (NYSE:AMC). The institutional investor bought 6.7 million shares of the stock in a transaction that took place on 6/30/2021. In another most recent transaction, which was held on 6/30/2021, BLACKROCK FUND ADVISORS bought approximately 2.2 million shares of AMC Entertainment Holdings Inc. In a separate transaction that took place on 6/30/2021, the institutional investor, SIMPLEX TRADING LLC bought 1.5 million shares of the company’s stock. The total Institutional investors and hedge funds own 23.10% of the company’s stock.
BlackBerry Limited (NYSE: BB)
BlackBerry Limited (NYSE: BB) is 45.85% higher on its value in year-to-date trading and has touched a low of $4.37 and a high of $28.77 in the current 52-week trading range. The bb stock was last observed hovering at around $9.67 in the last trading session, with the day’s loss setting it -2.13% off its average median price target of $8.50 for the next 12 months.
TD Securities rated the BlackBerry Limited (NYSE: BB) stock “a Reduce”. TD Securities’s estimates were contained in a research note released on Friday, June 25, 2021. Several other experts on Wall Street have posted such reports regarding the bb shares. According to CIBC, the stock is “a Sector underperform”. CIBC published its figures in a research note released to investors on Friday, June 25, 2021. Other experts at Canaccord Genuity have the stock’s price target at $10 price; with their rating of the stock is “a Sell.”. These scores were published in a research note the firm released on Friday, June 25, 2021.