Boston, Massachusetts – The stock price of online pet retailer Chewy experienced a rollercoaster ride on Monday following a revelation by one of the internet’s most-followed investors. Keith Gill, also known as “Roaring Kitty,” disclosed that he had acquired a significant stake in the company, leading to a surge in Chewy’s shares by 11% initially before dropping 3% early Monday.
Gill, who gained fame in 2021 as a leader of the “meme stock” movement, hinted at his Chewy holdings in a cryptic post featuring a dog emoji on social media. Subsequently, an SEC filing revealed that Gill had invested approximately $245 million in Chewy, representing about 6.6% of the company at Friday’s closing price. Notably, Gill added a playful touch to the filing by stating he was “not a cat,” showcasing his unique approach to investment disclosures.
The investor rose to prominence by spearheading an online-populist movement to revitalize stocks of traditional brick-and-mortar companies like GameStop, AMC, and Bed Bath and Beyond. While the movement did not achieve its intended goal of turning these companies around, it did generate losses for investors who had bet against them. However, Gill’s trading activities have come under scrutiny, leading to a class-action lawsuit alleging his involvement in a “pump and dump” scheme with GameStop shares.
Despite the backlash, GameStop’s stock price remains higher than before Gill’s activities but has declined significantly from its peak. Authorities in Massachusetts, where Gill resides, are also investigating his trades in GameStop shares. Gill has yet to respond to requests for comment on the ongoing investigations and lawsuit.