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GameStop (GME) shares experienced a significant surge on Monday, closing 21% higher at $28. This jump follows the return of popular retail investor Keith Gill,

GameStop Soars on "Roaring Kitty"s Return and $116 Million Bet

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Image credit: Clay Banks

GameStop (GME) shares experienced a significant surge on Monday, closing 21% higher at $28. This jump follows the return of popular retail investor Keith Gill, known online as "Roaring Kitty," to Reddit.

Fueling the Fire:

  • A Reddit post by Gill revealed a hefty $116 million bet on GameStop, translating to roughly 5 million shares or 1.8% of the company's publicly available stock.
  • This significant investment fueled a buying frenzy, with GameStop becoming the most heavily traded stock on the NYSE by the closing bell. The total trading volume reached a staggering $4.7 billion.

Memories of the 2021 Frenzy:

  • Gill's post reignited memories of the 2021 retail trading frenzy, where his bullish GameStop bets and social media presence heavily influenced individual investors.
  • Back then, his actions contributed to a surge in "meme stocks," companies with weak fundamentals that gained cult-like followings through social media hype.

Unverified Information and Open Questions:

  • The authenticity of the screenshot displaying Gill's holdings remains unverified by Reuters.
  • Attempts to reach Gill via Reddit and email for comment have been unsuccessful.

Looking Ahead:

The return of "Roaring Kitty" and his sizable investment in GameStop have sparked renewed interest in the embattled video game retailer. Whether this translates to long-term stability for the company or a short-term pump fueled by nostalgia remains to be seen.

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