7 Meme Stocks Driving Markets & Making a Mark
2021-05-06 15:30:00
Izaac Brook,
James Stanley,
Meme Stocks Talking Points
“Meme stocks” are instruments that retail traders support beyond their fundamental underpinnings.
Some are nostalgia-triggering companies past their prime. Others capitalize on industry disruptions, such as cryptocurrencies; all, at some point, have shown momentum.
Over the next seven pages we’ll dig into some of the more common or popular Meme stocks that have taken the market by storm in early 2021 trade.
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7 Meme Stocks Shaking Up Earnings
The retail trading boom that began in 2021 kicked off with a broad focus on tech stocks and the Nasdaq index. These disruptors represented the companies best positioned to benefit from the accelerated digital shift triggered by the pandemic. After dropping from an all-time high just shy of 10,000 at the onset of the pandemic, the Nasdaq catapulted higher. Recently, the index has struck fresh all-tim
GameStop (GME): The King of Meme Stocks Almost Stopped the Game
2021-04-30 14:43:00
James Stanley,
Izaac Brook,
GameStop (GME) Talking Points:
GameStop stock took markets by storm in Q1 as a short-squeeze in GME threatened to up-end US equity markets.
GameStop propelled WallStreetBets to the center of the market’s attention as redditors teamed up to go long the stock.
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GameStop (GME) is the leader of the pack of meme stocks, propelling WallStreetBets to fame during the coordinated short squeeze in January. The rally in GameStop and the disruptions it caused among brokerage platforms and the overall market was even a focus of congressional testimonies. While the beltway scrutiny may have faded for now the stock continues to trade above $150 per share as of late April, compared to $20 per share at the start of the year. The share price has continued to see high levels of volatility.
Dow Jones, Volatility, Treasury ETF Fund Flows Post-FOMC
2021-04-29 20:00:00
Izaac Brook,
Dow Jones, Volatility, Treasury ETF Fund Flows Talking Points:
Dow Jones ETF DIA has seen little activity as the Dow consolidates near ATHs.
Volatility ETF VXX saw largest one-day inflow since summer 2020.
20yr+ Treasury ETF TLT has seen large outflows as the long end of the curve moves up.
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Dow Jones, Volatility, Treasury ETF Fund Flows Post-FOMC
After breaking above the pre-pandemic highs in November and climbing above the 30,000 level for the first time, the Dow Jones continued its upward journey in 2021. Volatility-related hiccups in late January and early March were quickly brushed to the side as the Dow climbed higher, hitting the 34,000 level for the first time in mid-April. Since then, the Dow has traded mostly sideways, remaining between 33,700 and 34,200.
BlackBerry (BB): A Blast from the Past in the Market s Crosshairs
2021-04-30 14:28:00
Izaac Brook,
James Stanley,
Blackberry (BB) Talking Points:
BlackBerry used to dominate the mobile market but gave up most if not all of their share to Apple and Android-based devices.
Recent attempts at revival have fallen flat but the stock began to get attention again earlier this year around the Reddit-fueled rallies.
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BlackBerry (BB) stock has been less successful than GME and AMC in the aftermath of the January short-squeeze. The stock peaked around $25 per share in Jan. and now trades below $10. While BlackBerry is far past its heyday, the company does have a new flagship smartphone planned for release in 2021. Even more importantly, the company recently partnered with Amazon Web Services to create a cloud-based vehicle data platform. As autonomous vehicles and related technology advances, BlackBerry may be poised to benefit from increased adoption of its new services. T
AMC Entertainment (AMC): Theaters Were Closed but Markets Were Not
2021-04-30 14:34:00
James Stanley,
Senior Strategist
AMC Entertainment (AMC) Talking Points:
AMC was the next focal point from WallStreetBets after the GameStop saga in January.
The stock has similarly held up fairly well, highlighting a possible trend change as helped along by the army of Redditors earlier this year.
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Another retail favorite during the January short-squeeze, AMC Entertainment (AMC) has risen from around $2 a share to currently trade around $10 a share. While the short-squeeze dynamics at play in GME are also at play here, AMC is deriving benefits from the reopening of the US economy. As a major owner and operator of theaters, it may also be positioned to benefit as vaccinations allow Americans to return to some level of normalcy. Despite these advantages, AMC carries significant debt, which may be a burden as operations return to normal. When reporting Q4 2020 earnings in early