Houston, Texas – GameStop shares surged over 30% on Monday following a Reddit post made by retail investor Keith Gill. This post revealed that Gill, also known as DeepF——-Value and “Roaring Kitty,” held 5 million GameStop shares, equivalent to 1.8% of the publicly available stock. Additionally, the post showcased $65.7 million worth of GameStop call options expiring on June 21, with a strike price of $20, totaling approximately $116 million in value.
The stock fundamentals displayed GameStop closing at $28.91, marking a notable increase of $5.81 or 25.16% on that day. Prior to this, GameStop shares closed at $23.13 on Friday, demonstrating a significant upward trend following Gill’s post on social media.
Gill’s return to social media in May sparked a buying frenzy among Reddit users and retail investors, driving GameStop shares to surge over 134% in just two days. This resurgence in trading activity invoked memories of the earlier surge in 2021, which resulted in substantial losses for short sellers in the market.
Reflecting on GameStop’s loyal fanbase, co-founder Gary Kusin highlighted the strong connection between the company and its supporters, emphasizing their unwavering advocacy in the face of challenges. Despite concerns from Wall Street about the stock being overvalued, Kusin acknowledged the passionate stance taken by GameStop fans who remain steadfast in their support.
In the midst of these developments, the market continues to closely monitor GameStop’s stock behavior as investors and analysts assess the ongoing dynamics between retail traders, short sellers, and the company itself. The influence of social media platforms on stock trading activity, particularly in the context of meme stocks like GameStop, underscores the evolving landscape of the financial markets in the digital age.