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By now most people, even those vaguely tuned into finances, have heard the phrase "meme stock." But if you're just catching up, here are some basics.
Memesters took the likes of Kohl’s and Krispy Kreme on a wild ride.
Amid the resurgence of meme stock trading this week, a new acronym has captured the attention of users on Reddit's infamous WallStreetBets: DORK.
WallStreetBets, the infamous subreddit credited with helping to spawn the meme-stock phenomenon, is giving its regular readers a taste of what it was like during the trend’s heyday in early 2021.
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As the stocks rise, that puts pressure on short-selling hedge funds that borrowed the shares to bet against them. They’re forced to quickly repurchase them at a loss—a formula
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Massive moves in stocks such as Kohl’s and Opendoor Technologies are raising questions over whether a new wave of meme stock trading is underway and what that signals about risk appetite more broadly.
Investors are again turning to meme stocks in the hopes of scoring quick gains. The latest beaten down companies to see a share price revival are Krispy Kreme, GoPro and Beyond Meat.
Bursts of euphoric trading are often bullish for near-term returns, but rapid surges in speculation also raise the risk of a pullback, Goldman said.