GameStop shares skyrocketed on Monday after reports suggested that Keith Gill, the mastermind behind the 2021 “meme stock” short squeeze, has amassed a substantial stake in the company. Gill, known as DeepF——Value on Reddit and Roaring Kitty on YouTube and Twitter, has once again ignited a buying frenzy among retail investors.
CNBC reported that GameStop’s stock price surged by 71 percent, hitting around $39.71 per share on Monday morning before settling to a 25 percent gain later in the day. The rally’s intensity prompted the NYSE to briefly halt trading due to volatility.
On Sunday night, Gill posted a screenshot on the r/SuperStonk forum, showing a portfolio holding 5 million GameStop shares worth $115.7 million based on Friday’s closing price. The portfolio also included 120,000 call options with a strike price of $20, expiring on June 21st, which were purchased for approximately $5.68 each surged.
While the authenticity of the post has not been confirmed, the update did not appear on the WallStreetBets chatroom, where Gill previously shared his trade updates during the 2021 GameStop mania. Gill also posted a cryptic picture of a reverse card from the game Uno on Twitter, further stoking speculation among the Reddit trading community.
The GameStop rally influenced other meme stocks as well. AMC shares jumped 30 percent on Monday, adding to a 48 percent gain in May, while Reddit’s stock increased by five percent. Gill’s impact on the market is evident, as his recent social media activity continues to drive significant movements in meme stocks.
Three weeks ago, Gill’s simple post of a man leaning forward in a chair triggered a rally that saw GameStop’s shares more than double in May. The company capitalized on this surge by raising over $900 million through a stock sale, demonstrating the powerful influence Gill holds over retail investors.
GameStop’s renewed surge underscores the unpredictable and volatile nature of meme stocks. Driven by retail investors’ enthusiasm and speculative trading, these stocks can experience dramatic fluctuations based on social media activity and the actions of influential figures like Gill.
Gill’s reemergence and the subsequent stock rally highlight the ongoing fascination with meme stocks and the significant impact individual investors can have on the market.
