A social media post caused GameStop stock to spike over 110%

Shares of GameStop soared over 110% yesterday due to a surprise social media return of “Roaring Kitty,” the day trader who fueled the game retailer’s historic 2000% stock gain in 2021.

Known as Keith Gill in real life, he last posted on the X (formerly Twitter) platform three years back. His Monday post was of a cartoon gamer in a chair, symbolizing seriousness, similar to one GameStop shared in February.

Fellow traders quickly interpreted it as a signal for serious action, rallying the company’s shares. It tripped several circuit breakers (a temporary and mandated halt in trading) due to volatility.

According to Bloomberg, more than 174 million shares of GameStop changed hands, 30 times the one-year average.

Not just GameStop
Meme stocks like AMC Entertainment and Reddit rose 78% and 9%, respectively.

Trading platform Robinhood, which infamously suspended purchases of GameStop and other meme stocks during the 2021 rally, climbed 4% on Monday.

Short sellers took a hit
The surge in GameStop shares, unrelated to the company’s fundamentals, led to $1 billion in losses for short sellers, according to data company S3 Partners.