One year has passed since the rise of “meme stocks” that included triple-digit increases in the prices of GameStop Corp. and AMC Entertainment Holdings Inc. While both stocks have come down from peaks in 2021, there could be more room to fall, according to a new report.
What Happened
In January 2021, one of the most dynamic stories of the stock market’s past decade occurred. A movement of retail traders took on large hedge funds and short-sellers in several stocks of well-known companies.An appearance by Citron Research’s Andrew Left on Benzinga YouTube highlighted a short position in shares of GameStop and a call that shares were overvalued. WallStreetBets and several trading groups took on Left with a flood of messages in the live video chat and purchases of shares to attempt to cause a short squeeze.
