The man at the center of the pandemic meme stock craze, Keith Gill, also known as “Roaring Kitty,” made a surprising return to the online world after three years of silence. Gill’s appearance online caused a frenzy in the stock market, particularly with GameStop shares, which saw a sharp increase in value on Monday.
Gill’s social media post on X showed a meme of a man sitting forward in his chair, a signal often used by gamers when things are getting serious. This was followed by a YouTube video from years ago where he passionately advocated for GameStop, a struggling video game retailer that was on the brink of bankruptcy.
His actions, along with a group of retail investors, led to what is known as a “short squeeze,” where big Wall Street hedge funds that had bet against GameStop were forced to buy back shares at a rapidly rising price to cover their losses. This phenomenon caused GameStop shares to more than double on Monday, closing up 74%.
The meme stock craze also affected other companies like AMC Entertainment Holdings Inc., Koss Corp., and BlackBerry, all of which saw significant increases in their stock prices. Gill’s return to the spotlight reignited the excitement around meme stocks, with trading in GameStop being halted multiple times due to volatility.
Gill’s involvement in the GameStop saga has been a subject of controversy, with some accusing him of manipulating the stock price through social media. However, Gill has maintained that he simply “likes the stock” and believes in the potential of companies like GameStop.
The story of Roaring Kitty and the meme stock craze has captivated investors and the public alike, with a movie called “Dumb Money” based on the events of last year. As the market continues to evolve, the impact of retail investors like Gill on traditional Wall Street practices remains to be seen.
