AMC Entertainment Holdings Inc NEW YORK, JUNE 02 — AMC has soared 3,000 per cent this year with the armada of Reddit investors, making it the queen of meme stocks, the stocks of those companies that investors choose not for their ‘fundamentals’ but for the hype on social media and on web forums. In the last two weeks alone, the cinema chain has gained 400%, reaching a market capitalisation of $33 billion, greater even than the $25 billion GameStop achieved at the peak of its sprint in January.
Other examples include BlackBerry, with thousands of mentions running up 23%, Sundial Growers shares translating into a 10.5% rise and Palantir Technologies up 6%. Often a trap for those who enter the investment when the shares are at the Zenith but once again the army of Reddit, the social reference for do-it-yourself traders, beat the short sellers: short sellers lost $1.3 billion with their stakes on AMC. The movie theater chain’s stunt, announcing special rewards for its retail investors, including exclusive screenings and free popcorn, is sending the stock soaring on Wall Street, where it has gained as much as 100 percent to $72.62.
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