GameStop shares jump another 80% after board member's cryptic tweet

When Twitter user @vestro shared the theory, his tweet was ‘liked’ by Volition Capital’s managing director, pouring fuel on the bonfire of speculation.

‘Holy f**k!’ wrote one Reddit user. ‘Ryan Cohen has the reigns [sic] as CEO and they just had their first board meeting… Same as he did at Chewy!’

Other users speculated that the frog symbol represented the classic arcade game Frogger, or is a ‘long-used symbol of transition and change, from tadpole to frog.’ 

Web sleuths discovered info on a Chewy investor’s site that at the company’s first board meeting, Cohen had taken the board out for McDonald’s soft-serve  

GameStop shares remain well below their peak last month of $483 at the height of the frenzy

Reddit discussion threads were buzzing again about GameStop on Thursday, with members exhorting others to pile into the stock as the rally gathers steam.

‘Bought lots more #GME today, let’s keep fighting !!,’ wrote one Reddit user Fundssqueezzer, while another user Responsible_Fun6255 said, ‘Rise of the planet of the ape: GME edition’. 

It led to concerns that amateur investors would pile into the stock at an inflated price in a gamble that it will rise further. Last month, some small investors lost hundreds of thousands when they poured their savings into GameStop shares, only to see the bubble burst.

‘It’s a pretty risky play to try and buy now … what we might (see) at the open of the cash market is some people trying to get in,’ Oriano Lizza, premium sales trader at CMC Markets in Singapore, told Reuters. 

However, some of GameStop’s most ardent promoters are standing behind the stock. 

On Friday, one day after testifying before the House Financial Services Committee, Keith ‘Roaring Kitty’ Gill revealed on Reddit that he had doubled the number of shares of GameStop he was holding, from 50,000 to 100,000.

Keith ‘Roaring Kitty’ Gill revealed on Reddit last week that he had doubled the number of shares of GameStop he was holding, after testifying in Congress: ‘I like the stock’

A brokerage account screenshot posted by Gill showed that he sunk $2 million into another 50,000 shares of GameStop, at an average price of about $40 per share

Gill, who had already made about $13 million in profits from his trades, plowed about $2 million of his gains into the trade, paying about $40 per share to increase his stake. 

He had testified in Congress: ‘GameStop’s stock price may have gotten a bit ahead of itself last month, but I’m as bullish as I’ve ever been on a potential turnaround. In short, I like the stock. 

GameStop shares skyrocketed in January as retail investors, urged on by popular Reddit forum WallStreetBets, bought the stock as a way to punish hedge funds that had bet massively against it.

The squeeze ‘personally humbled’ Melvin Capital’s Gabriel Plotkin, whose firm was bailed out with a $2.75 billion dollar lifeline supplied by hedge fund Citadel’s Kenneth Griffin and Point72 Asset Management’s Steven Cohen.

The risky trading strategies employed by some traders on Reddit have drawn the ire of investing legends such as Charlie Munger, long time business partner of Warren Buffett.

‘It’s really stupid to have a culture which encourages as much gambling in stocks by people who have the mindset of racetrack bettors,’ said Munger, Berkshire Hathaway’s vice chairman, at a conference on Wednesday. 

Robinhood slams Charlie Munger’s ‘elitist’ comments calling small traders ‘a bunch of gamblers’ 

Online trading platform Robinhood on Thursday responded to Munger’s remarks, after the billionaire investor accused the company of profiting off ‘gamblers’ who treat the stock market like a casino.

‘To suggest that new investors have a ‘mind-set of racetrack [betters]’ is disappointing and elitist,’ a Robinhood spokeswoman said.

‘In one fell swoop an entire new generation of investors has been criticized and this commentary overlooks the cultural shift that is taking place in our nation today,’ she added. 

‘Robinhood was created to allow people who don’t have access to generational wealth or the resources that come with it to begin investing in the U.S. stock market,’ the spokeswoman said.

Charlie Munger, the longtime business partner of Warren Buffett, on Wednesday warned that the stock market bears signs of a bubble, reflecting a ‘dangerous’ gambling mentality

‘It should be celebrated that we are seeing market investors begin to diversify, and that education and awareness about the values of investing are diffusing further into previously untapped generations,’ she added.

At a conference on Wednesday, Munger, 97, lamented the recent mania for GameStop, in which amateur investors encouraged each other online to buy the gaming retailer on platforms including Robinhood.

‘It’s really stupid to have a culture which encourages as much gambling in stocks by people who have the mindset of racetrack bettors,’ he said.

‘A lot of them crowd in to buying stocks on frenzy, frequently on credit, because they see that they’re going up, and 우리카지노 of course that’s a very dangerous way to invest.’

‘That’s the kind of thing that can happen when you get a whole lot of people who are using liquid stock markets to gamble the way they would in betting on race horses,’ he said of the GameStop saga.

Munger said commission-free trading apps like Robinhood were partly to blame for the bubble. 

‘And the frenzy is fed by people who are getting commissions and other revenues out of this new bunch of gamblers. And of course, when things get extreme, you have things like that short squeeze,’ he added. 

‘And it’s really stupid to have a culture which encourages as much gambling in stocks by people who have the mindset of racetrack matters,’ said Munger. ‘It’s a dirty way of making money.’