Renewed Frenzy Around Meme Stocks GameStop and AMC Cools Off
This week’s renewed frenzy around meme-stock favorites GameStop Corp. and AMC Entertainment Holdings Inc. cooled off a bit on Wednesday, with shares of the high-risk, heavily shorted companies giving up most of their premarket gains.
As of 5:55 a.m. in New York, the two stocks were about 9% higher. Earlier Wednesday, video-game retailer GameStop surged as much as 32%, while beleaguered movie theater chain AMC jumped as much as 35%. The companies more than doubled over the first two days of the week, adding a combined $11 billion in market value.
In a surprise move, Roaring Kitty made a social media comeback on Tuesday, posting a flurry of cryptic movie clips. The influential trader’s return spurred significant trading activity in GameStop (GME) and AMC Entertainment (AMC) products, sending shares soaring.
On Friday, May 9, GameStop had closed at $17.46 per share, and AMC closed at $2.91 per share. By Monday, May 13, GME stock reached a high of $38.20 per share and AMC stock reached a high of $5.88 per share. The following day, Tuesday, May 14, GME stock reached a high of $64.83 per share, while AMC stock reached a high of $11.88.
Despite the mid-week cooling, the recent activity highlights the continued volatility and fervor surrounding these meme stocks.
