GameStop Rockets as Roaring Kitty is Tweet Sparks Meme Stock Mania

GameStop (NYSE: GME) shares surged up to 14% on Thursday after Keith Gill, known online as "Roaring Kitty," posted on X (formerly Twitter) for the first time since September. The cryptic post sent meme stock fans into a frenzy, reviving hopes for another rally.

1. What Happened?

On Thursday, at 1:45 p.m. ET, Roaring Kitty posted a picture of a fake TIME Magazine cover featuring only a desktop computer monitor and keyboard. The post quickly went viral, gaining 3.1 million views by 3:45 p.m. This marked Gill's first post since September, and meme stock enthusiasts immediately interpreted it as a bullish signal for GameStop.

2. Impact on Meme Stocks

The response to Roaring Kitty's tweet was immediate. GameStop shares jumped by as much as 14%, and AMC Entertainment Holdings (NYSE: AMC), another popular meme stock, gained 13%. However, Chewy Inc. (NYSE: CHWY), a company Gill is known to have invested in, remained unaffected by the post.

3. Roaring Kitty's Influence

Roaring Kitty has become an iconic figure in the meme stock movement since the original GameStop frenzy in 2021. His cryptic tweets often serve as catalysts for sudden stock price surges, driven largely by retail investors rallying together. Gill has over 1.6 million followers on X, and each of his sporadic posts generates speculation and excitement. In early September, a similar post from Gill sent Chewy's stock price plummeting while GameStop's soared, adding to his reputation for stirring market activity.

4. Market Sentiment

While GameStop and AMC pared some of their gains later in the day, closing up 6% and 5% respectively, the episode illustrates how influential personalities like Roaring Kitty continue to shape the meme stock market. The surge of interest was powered by retail traders looking to capitalize on the buzz, even in the absence of new fundamental news about the companies.

Conclusion:

Roaring Kitty's return to social media sent shockwaves through the meme stock community, with GameStop and AMC seeing significant gains. It shows that meme stock enthusiasm is far from over, as retail investors continue to react to online personalities and speculative cues.