Robinhood is warning investors in its IPO filing it could become a meme stock and that heightened attention from retail traders is a risk

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  • Robinhood warned investors of price volatility risk if retail-investor interest is high in the IPO.
  • The trading app is making 20% to 35% of its stock available to retail traders through its platform.
  • Other meme stock companies like AMC have warned of volatility and the subsequent risk, as well.
  • See more stories on Insider’s business page.

Robinhood warned investors it’s at risk of becoming a meme stock when it starts trading publicly.

The company, which filed for an initial public offering Thursday, is making 20% to 35% of its stock available to retail traders through its app, meaning a larger proportion of retail investors may participate in the offering “than is typical,” said the company, which will be listed on the Nasdaq under the ticker “HOOD.”

Retail investors have become known for targeting meme-stock companies and driving extreme volatility in share prices. Take GameStop’s epic rally in January and AMC Entertainment’s subsequent rally in May, for example. If they pour into Robinhood shares in its IPO, that could cause price volatility, the company said.

“High levels of initial interest in our stock at the time of this offering may result in an unsustainable trading price, in which case the price of our Class A common stock may decline over time,” Robinhood said in its IPO filing.

Then, if the price is above what investors deem reasonable, some may short the stock, “which would create additional downward pressure on the trading price,” the company said. Robinhood did not immediately respond to Insider’s request for comment on the story.

Other companies popular among retail traders have similarly warned of price volatility – except those warnings didn’t come until after their stocks had already skyrocketed amid its newfound meme status.

In June, AMC Entertainment told investors to prepare to lose all of their money if they invested in the stock amid its dizzying rally. Orphazyme, a small Danish biotech company, told traders they could lose a “significant portion” of their investment if the stock declined from its unprecedented highs. Car rental company Hertz said at one point its stock could be “worthless” and that investing in it involved a “high degree of risk.”

Ahead of filing for its public offering, Robinhood unveiled the new IPO Access feature that would allow users to buy shares of companies at the IPO price, before the stock starts trading on the open markets.

Robinhood, which launched in 2013, said those shares typically only go to institutions or wealthier investors. “Here’s to democratizing IPOs for all!” the company said in the May press release about the new service.

Read more: An investment chief for Lombard Odier says a rise in volatility could knock 10% off the S&P 500 in the next six months. He breaks down the 10 ways to shield, or boost, a cross-asset portfolio

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A sharp downturn won’t scare away the horde of retail investors reshaping the market. We spoke to 5 experts and day traders who explained why they’re here to stay.

Wall Street Bets Reddit Retail Traders GameStop
In this photo illustration the WallStreetBets page seen in the background of a silhouette hand holding a mobile phone with Reddit logo. Photo Illustration by Rafael Henrique/SOPA Images/LightRocket via Getty Images

  • The surge of retail investors will likely be in the stock market for the long haul, experts told Insider.
  • Fee-free trading, access to market data, and social media, are making it easier to trade.
  • “They see it as more than just a trade or an investment. They see it as a movement,” one expert said.
  • See more stories on Insider’s business page.

The horde of retail traders who have flooded the stock market in the past year are here to stay – even when the market turns sour, experts told Insider.

Since January 2020, retail investors bought $400 billion in stocks, doubling their total equity purchases from years prior, according to Vanda Research. Stock buying had been on the upswing for years before that though as more everyday investors had better access to market data and fee-free trading, thanks to brokerage apps like Robinhood, among others.

Dave Lauer, a stock market structure expert who has been interacting with retail investors, said the COVID-19 pandemic simply accelerated the number of day traders joining the market. But now that they’re here, “they’re here to stay,” he said.

For the first time, he’s seeing hundreds of thousands of people wanting to learn about how markets work and improve them.

“They see it as more than just a trade or an investment,” he said. “They see it as a movement.”

Matt Kohrs, a 26-year-old day trader with more than 300,000 followers on his YouTube trading channel, said the community of retail investors came together because they’re “tired of the tilted game” of Wall Street.

“The driving factor is a huge social-cultural movement,” he said. “It just happens to be playing out on a stock chart.”

Retail traders have joined the stock market in droves before.

Kristina Hooper, chief global market strategist at Invesco, said the dot-com bubble in the 90s had an “extraordinary level” of retail participation.

During that time, “it was not Reddit and Wall Street Bets and forums; it was taxi drivers in New York City talking about their favorite dot-com picks,” said Darren Schuringa, the founder of ASYMmetric ETFs, a firm designed to empower retail investors.

The difference now, according to Tuttle Capital Management Chief Executive Officer Matt Tuttle, “is the access now to all sorts of information, it’s the ability to trade for free and to trade quickly, and it’s the fact that they’re connected.”

That connection, Tuttle said, has given them the buying power of institutional investors.

For example, in January, hordes of day traders mobilizing on Reddit drove shares of GameStop to sky-high prices and caused short-sellers to lose billions. The event started the trend of “meme stocks,” and since then, the traders have driven share prices of multiple other companies, like AMC Entertainment and BlackBerry, up as well.

“They’ve got some power,” Tuttle said. “What history tells you is people who have power don’t give it up, at least not willingly.”

Even a market correction isn’t likely to faze retail traders, though they’ll likely face losses and some will exit, the experts said.

Hooper said a market correction could be on the horizon, though it will be short lived and won’t dent retail appetite.

“If you only have a downturn that lasts a few days and then stocks start going back up, will it shake out a lot of retail investors? Probably not,” she said.

However, a correction could hit meme stocks “quite hard,” she said, “because if there is one area where the fundamentals aren’t backing it, it’s meme stocks.”

Lauer, on the other hand, said meme stocks might avoid a correction because they appear to trade “relatively independent of what the market is doing.”

Kohrs said because retail traders make money off volatility, they could have even “bigger gains” in a bear market if executed properly.

“If you have proper risk management,” Schuringa said, “you can make money on both sides of the trade.”

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A majority of Millennial and Gen-Z investors are taking personal loans or borrowing from friends and family to invest in stocks

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  • A majority of Millennial and Gen-Z investors are borrowing money to invest in stocks.
  • Most took out a personal loan or turned to family and friends, a new survey shows.
  • Borrowing puts investors into “risky territory” said Magnify Money, which conducted the research.
  • See more stories on Insider’s business page.

Millennial and Gen-Z investors in the US are borrowing money to invest in stocks, a survey from LendingTree’s Magnify Money shows.

80% of Gen-Z investors and 60% of Millennials surveyed said they took on debt to invest. The survey gathered responses from about 2,000 US consumers from March 30 to April 6. Of those surveyed, about half were investors.

Young investors were most likely to take out a personal loan – oftentimes borrowing $5,000 or more – to invest and turned to family and friends for funds second, the data showed.

Older generations were much less likely to take on debt, with only 28% of Gen Xers and 9% of Baby Boomers borrowing in order to invest, the survey showed. Of those who borrowed money, more than half said they’d do it again.

Ismat Mangla, MagnifyMoney senior director of content, said borrowing puts investors into “risky territory,” and they need to determine if they can afford to take that risk.

“You want to be confident that your investment gains will exceed the costs of your loan. If they don’t, you should be confident that you could take that financial hit,” she said.

Millennials and Gen Zs have joined the market in droves since the COVID-19 pandemic began, and many have used social media sites like TikTok, which can be sometimes be a source of questionable advice, to educate themselves on investing. Data from Vanda Research shows retail traders purchased an additional $400 billion in stocks since January 2020, doubling their total purchases from the year prior.

Many of the young investors have poured into the new phenomenon of meme stocks – a trend that started earlier this year when retail traders coordinating on social media caused shares of GameStop to skyrocket. Since then, companies, including AMC Entertainment and BlackBerry among others, have seen sky-high prices largely thanks to the retail trade.

Wall Street analysts have said meme-stock prices are disconnected from reality, making them a riskier bet and nearly equivalent to gambling. And meme-stock companies have even begun to warn retail traders that they could lose all their investment making risky bets on stock prices trading above fundamentals.

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Retail investors are on track to plow $400 billion into stocks in 2021 with the day-trading boom still in its early innings, Goldman Sachs says

Reddit Wall Street Bets Retail Trading GameStop
  • Retail traders are set to pour a net $400 billion into the equity market this year, Goldman Sachs said.
  • That’s a hike from the analysts’ previous estimate of $350 billion.
  • Goldman’s basket of retail favorites has outperformed the S&P 500 by 3 percentage points.
  • See more stories on Insider’s business page.

Retail traders responsible for driving record rallies in meme stocks like GameStop and AMC Entertainment are on track to pour a net $400 billion into equities this year, Goldman Sachs analysts said.

In the Friday note, the analysts, led by David Kostin, raised their estimate for full-year household net equity buying forecast to $400 billion from $350 billion in light of “high cash balances and continued retail participation.”

Last year, households poured $367 billion into equities, while in 2018 and 2019, they were net negative on the asset class, the Goldman Sachs data showed.

“The retail bid is back,” the analysts wrote, noting that in the first quarter alone, households were the largest source of equity purchases, netting $172 billion.

The “renewed strength in retail activity” has pushed Goldman’s basket of “retail favorites” to top the S&P 500’s performance by 3 percentage points this month. Meanwhile, stocks with active retail trading activity have also outperformed the broad market.

Retail traders came into the spotlight earlier this year when they caused a massive rally in shares of video-game retailer GameStop. The rally spread to other stocks, too, including BlackBerry and AMC Entertainment. Since then, the term “meme stocks” has entered Wall Street’s vocabulary, as retail traders, mobilized on social media sites like Reddit and Twitter, continue to rally behind various companies.

In May, retail traders renewed their interest in the new class of stocks as they drove up shares of movie-theater chain AMC Entertainment. Other meme-stock classics also rallied, as retail traders added new stocks to the basket as well.

Retail traders will likely continue to favor stock markets, thanks to “anemic” money market and credit yields, Goldman Sachs said. Plus, a continued increase in inflation would make equities more favorable than bonds or cash.

Currently, households allocate 44% of their assets to equities, the analysts said. That nearly matches the 46% all-time high allocation from 2000, just before the dot-com bubble burst.

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A hedge fund lost 10% in just a few days after a sudden spike in AMC stock derailed an options trade, new report says

A person rides his bicycle past the closed AMC movie theaters in Times Square on October 22, 2020.
  • Hedge fund Mudrick Capital lost 10% in just a few days amid a recent surge in AMC Entertainment’s stock price, the Wall Street Journal reported.
  • The fund announced earlier this month that it purchased millions of AMC shares and sold them at a profit shortly after.
  • The fund is still up 12% year-to-date, while shares of AMC are up more than 2,000%.
  • See more stories on Insider’s business page.

Hedge fund Mudrick Capital lost 10% in just a few days of trading as shares of meme stock AMC Entertainment spiked to record highs, the Wall Street Journal reported, citing people familiar with the matter.

The losses were driven by call options sold by firm founder Jason Mudrick, according to the WSJ. The position, intended to serve as a downside hedge, ended up backfiring as the stock surged too much, too fast.

The runaway share spike occurred on June 2, when AMC shares rose as much as 127%, to $72.62, well beyond the strike price of $40 for Mudrick’s options.

Just one day prior, Mudrick had disclosed a $230.5 million purchase of new AMC stock, then immediately sold those shares at a profit, according to a Bloomberg report. Despite the success of that leg of the overall AMC trade, Mudrick’s calls on the stock were still held short, leaving them vulnerable to the June 2 surge, the WSJ found.

Mudrick did close out all options and debt positions on June 2, albeit too late to avoid the squeeze. While the fund did earn a roughly 5% return on the debt, it ended up absorbing a net loss of 5.4% because of the options trade.

Though the fund took a hit amid the surge, it’s still up about 12% for the year, the Journal said. Meanwhile, AMC, the world’s largest movie theater chain, is up more than 2,000% year-to-date.

Retail traders have been dealing blows to short sellers and hedge funds this year as they’ve poured into stocks with high short interest rates in order to force a short squeeze. Earlier this year, investors on Reddit’s Wall Street Bets led a share price surge in GameStop, which caused short sellers to lose billions.

Amid the renewed meme-stock interest in recent weeks, short sellers have continued to lose money in retail-trader favorites like AMC and GameStop. The meme stock trade has scared off many short sellers from heavily betting against certain stocks.

Read more: Goldman Sachs says these 40 popular stocks can be used to play the meme trade as surging retail volumes create huge money-making opportunities for investors who know when to get out

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A Danish biotech stock surged 1,387% during US trading hours for no apparent reason amid chatter that it’s getting the meme-stock treatment

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  • Orphazyme, a Copenhagen, Denmark-based biotech company, surged 1,387% in US trading Thursday.
  • The small biotech firm said it wasn’t aware of any material changes to the company.
  • Orphazyme was the eighth most-mentioned stock on Reddit’s Wall Street Bets Thursday.
  • See more stories on Insider’s business page.

Shares of a small Denmark biotechnology company surged as much as 1,387% in US trading hours Thursday as chatter about the stock jumped on Reddit’s Wall Street Bets.

Orphazyme, which is researching treatment for rare diseases, closed the day 302% higher in the US. In Denmark Friday it continued to rally as much as 88%, according to Bloomberg data.

On Thursday, the stock had about 450 mentions on the Wall Street Bets subreddit, making it the eighth-most mentioned company for the day, Quiver Quantitative data show. By comparison, AMC Entertainment had about 1,400 mentions and came in second.

Even so, the stock fell out of popularity on the subreddit Friday. On another thread, r/Stocks, several Redditors, confused at the stock move, questioned if it was a hedge-fund pump and dump. The company’s American Depository Shares fell more than 50% in early morning trading Friday.

In a statement about the share surge, the Copenhagen, Denmark-based company said it’s not aware of any material change in its programs, finances, or operations that would explain the stock move.

“Investors who purchase the company’s ADS or shares may lose a significant portion of their investments if the price of such securities subsequently declines,” the statement said.

Per Hansen, an investment economist at Nordnet in Copenhagen, told Bloomberg there’s not a logical explanation for the move, adding that GameStop and AMC aren’t the only culprits of “strange, sudden, and inexplicable” price developments.

Meme stocks have seen a surge of interest in recent weeks amid renewed interest in movie-theater chain AMC Entertainment. As of June 9, retail traders had poured $1.27 billion into meme stocks over two weeks, matching the GameStop-craze inflows from earlier this year.

This time around, the frenzy has expanded from meme-stock classics like GameStop, AMC, and BlackBerry, and extended to new and often lesser-known names, like e-commerce company ContextLogic, which was the most talked about stock Thursday, and iron-ore mining company Cleveland Cliffs.

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From a mining company to a mortgage REIT, day traders have been flocking to new meme stocks all week and driving more eye-popping gains

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A Reddit logo is seen displayed on a smartphone.

  • Retail traders are flocking to new meme stocks.
  • Among the names are Cleveland Cliffs, Clean Energy Fuels, ContextLogic, and Invesco Mortgage.
  • The new names have a lower short interest rate than Reddit favorites AMC and GameStop.
  • See more stories on Insider’s business page.

Retail traders have been flocking to a horde of new meme stocks this week – from a mining company to a fast-food chain and a car retailer.

The stocks, from a wide variety of sectors, don’t have much in common, except that they’re seeing increased social media hype and price volatility. Even their short-interest rates – a coveted metric that Reddit traders use to determine if a stock is primed for a short squeeze – vary considerably.

Restoration Hardware was among the new names. The home-furnishings retailer soared as much as 15% Thursday amid a jump in positive Reddit chatter.

Another new meme stock is Clean Energy Fuels. The Newport Beach, California-based natural gas provider has become so popular this week that it took over as the most-hyped company among retail traders on Reddit investing threads, HypeEquity data showed. Reddit listed the company on its “daily popular tickers thread” alongside Clover Health and BlackBerry.

Even so, the company has had a volatile 24 hours. It closed Wednesday 31.5% higher only to fall in Thursday trading.

It isn’t the only new meme stock this week to whipsaw from big gains to losses.

ContextLogic, a mobile e-commerce company, surged Tuesday, erased some gains Wednesday and turned back upward Thursday. Quiver Quantitative listed the company as the most-discussed ticker on June 9 on Reddit with nearly 4,000 mentions. By comparison, meme-stock classic AMC Entertainment had just 1,400 mentions.

The second-most mentioned stock according to the data was Cleveland-Cliffs, an Ohio-based iron-ore mining company.

The stock, listed under the ticker CLF, jumped 14.6% in Wednesday trading to its highest since 2014, briefly continuing the rally Thursday before turning lower. Bullish posts from Redditors put the stock at a “strong buy,” according to HypeEquity data, as it had three times the number of buy to sell mentions.

Wendy’s is another new name. The fast-food restaurant surged 26% Tuesday, thanks to social media hype from retail traders, and then it erased half its gains from the day prior on Wednesday and continued to fall Thursday.

One Redditor with a long comment history advised others, “Cut your losses and get out.”

Positive social volume about Invesco Mortgage, a Nebraska-based real estate investment trust, took off on Reddit this week, too, as the stock rallied 17.8% Wednesday and continued to build on its gains Thursday.

Little-known UWM Holdings, the Pontiac, Michigan-based mortgage lender, saw about 1,000 mentions on Reddit, Quiver Quantitative data showed. Redditors have pointed out the opportunity for a short-squeeze in the stock in the past, as it has a 21% short interest rate, according to MarketBeat.

Though causing big losses for short sellers has been a stated goal for traders on Wall Street Bets since the GameStop saga earlier this year, the newer meme stocks do not have as high of a short interest that set the stage for other short squeezes.

Compared to meme-stock classics, AMC and GameStop, which have a 21% short interest rate, the new stocks don’t have as much, as retail traders have actually scared off some short sellers.

Wendy’s, for example, has just 4% short interest rate, while Cleaveland-Cliffs and Clean Energy Fuels have a 9% and 7% rate, respectively. ContextLogic, Restoration Hardware, and Invesco Mortgage have the highest with an 11.5%, 13%, and 15% short interest, according to MarketBeat data.

The Geo Group, the Boca Raton, Florida-based private-prison company, has also been mentioned as a potential new meme-stock name. The company has a 35% short interest rate, and soared 38.4% Wednesday before declining Thursday.

But Geo wasn’t listed on HypeEquity as trending or listed among top stocks on Quiver Quantitative. Many Redditors shunned the idea that they were responsible for the record gain Wednesday. One Redditor, echoing the confusion among Wall Street Bets followers, said, “GEO jumped up 30% pre market without a mention on the wsb sub. No explanation though.”

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New meme stocks Clean Energy Fuels and ContextLogic rally as AMC fever fades

Wendy's

  • New meme names Clean Energy Fuels and ContextLogic jumped as much as 45% and 28%, respectively.
  • CarLotz and Workhorse also extended rallies from the prior session, alongside Clover Health.
  • Wendy’s, meanwhile, dropped after seeing big gains Tuesday.
  • See more stories on Insider’s business page.

Reddit traders are driving rallies in a string of new meme stocks this week, including Clean Energy Fuels and ContextLogic, among others.

Clean Energy Fuels, the Newport Beach, California-based natural gas provider, jumped 45% Wednesday, as ContextLogic, the mobile e-commerce company, jumped 28%, building on a 50% rise during Tuesday’s trading session.

The two new meme stocks were among the top-trending companies on Reddit investing threads like Wall Street Bets, according to HypeEquity data. Largely bullish Redditors agreed ContextLogic “has room to grow,” and as for Clean Energy Fuels, the phrase “short squeeze” was a common theme.

Recently, Redditors have also renewed their interest in Clover Health, the health-insurance provider backed by Chamath Palihapitiya. The stock – which plummeted earlier this year following a report from short-seller Hindenberg Research accusing the company of misleading investors, customers, and the federal government – remained the top-hyped name on Reddit. The stock was also trending on Twitter.

Clover rose 21% Wednesday, building on an 86% gain from the day prior.

Auto retailer CarLotz and electric vehicle-maker Workhorse bolstered gains from Tuesday, rising as much as 10% and 18%, respectively, thanks to their new status as meme stocks among Reddit investors. Meanwhile, electric-vehicle manufacturer Canoo whipsawed after rallying the day prior.

As for Wendy’s, the fast-food restaurant struggled to replicate the previous day’s rally as it dropped as much as 7% after the market opened. The stock on Tuesday ended at its highest level in nearly two decades, at $28.87, higher by almost 26%.

For Wendy’s, the word “tendy” was the most mentioned in posts about the company – a reference to both chicken nuggets on the menu and Reddit lingo that equates “tendies” with returns on investment.

Meanwhile, meme stock classics AMC Entertainment and BlackBerry, which have remained steady this week after massive gains last week, dropped. The movie-theater chain fell as much as 12%, while BlackBerry dropped 9%. GameStop, this year’s original meme stock, saw a modest rise.

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Meme stocks whipsaw as AMC share sale ends massive Reddit-fueled rally

Reddit
In this photo illustration a Reddit logo seen displayed on a smartphone.

  • Meme stocks largely retreated Thursday, with AMC, GameStop, and Bed Bath & Beyond all falling.
  • Some retail favorites, like Tilray, Clover Health, and Virgin Galactic continued to rally, though.
  • AMC dropped as much as 40% after announcing plans to sell nearly 12 million new shares.
  • See more stories on Insider’s business page.

A handful meme stocks held onto strong Thursday while others, including AMC Entertainment, GameStop, and Bed Bath & Beyond retreated.

BlackBerry led gains among meme stock Thursday before turning downward along with other well-known names. The stock, which fell as much as 8%, was the top conversation piece among retail-trader favorites on Wall Street Bets with AMC and GameStop behind it, according to data from Quiver Quantitative.

AMC, which nearly doubled in price yesterday, fell as much as 40% after the company announced a 12-million share sale. Trading halted three times for the stock amid the sharp decline.

Other meme stocks that have rallied this week fell with it. Bed Bath & Beyond dropped as much as 27% after its 63% one-day rally Wednesday. And the original meme stock, GameStop, retreated as much as 13%.

Beyond Meat, a new meme stock pushed by Mad Money’s Jim Cramer, also fell along with Koss Corp.

But not all of the retail-trader favorites declined.

Canadian cannabis companies Tilray and Sundial both rallied despite the meme-stock losses. Tilray, which recently completed its acquisition of Aphria, jumped as high as 16% Thursday, as Sundial rose 33%, putting both stocks on a two-day rally.

The two companies have benefited from positive sentiment from retail traders after Amazon announced it would back a federal bill to legalize marijuana. They were among the “most discussed” stocks on Wall Street Bets, Quiver Quantitative said.

Some other lesser-known meme stocks rallied alongside Tilray and Sundial, as well. Workhorse, the Ohio-based seller of electric vehicles and aircraft, jumped as much as 54%. Clover Health, the health insurer backed by Chamath Palihapitiya, jumped as much as 13% before paring gains, and space tourism company Virgin Galactic rose as much as 8%.

If you’re a Millennial or Gen Z investor willing to share your investing experience, reach out to the reporter of this article at ndailey@insider.com.

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AMC surges 126% as Reddit cheerleaders overpower large hedge-fund share sale

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  • Shares of AMC Entertainment surged as much as 126% on Wednesday before trading was halted for volatility.
  • The move comes after hedge fund Mudrick Capital dumped shares on the same day it was disclosed the firm bought 8.5 million units.
  • Retail traders on sites like Reddit remained bullish on the meme stock.
  • See more stories on Insider’s business page.

AMC Entertainment surged Wednesday despite a share dump from hedge fund Mudrick Capital.

Shares of the world’s largest movie theater operator jumped as much as 126% to trade around $72, triggering a halt for volatility. The surge built on Tuesday’s gains, which pushed the stock 23% higher during the session to close at $32.04. AMC shares have now spiked almost 500% in just seven trading days.

The Leawood, Kansas-based company announced Tuesday it raised $230.5 million in cash after agreeing to sell 8.5 million shares to Mudrick Capital for $27.12 each, a dollar higher than the stock’s Friday closing price. Shares surged following the news as the company said it would use the funds to make acquisitions, improve consumer appeal, and deleveraging.

Just hours after the announcement, Mudrick Capital sold its entire stake at a profit, Bloomberg reported. Despite the share dump, the meme stock continued its rally early Wednesday as retail traders remained bullish. The stock remained one of the top talked-about companies on Reddit threads like Wall Street Bets, HypeEquity data showed.

AMC has led a broader rally in meme stocks, like GameStop and BlackBerry, so far this week amid renewed interest in the retail-trader favorites. BlackBerry, for its part, closed 15% higher at $11.56 Tuesday and continued rallying in early morning trading, as GameStop closed 12% higher at $27.02 Tuesday and upticked just slightly Wednesday.

Last week, shares of the movie theater operator rallied for days after private Chinese conglomerate Dalian Wanda Group announced it sold nearly all of its remaining stake in the company. Retail traders cheered the newly available shares, more than doubling the stock price through the course of the week.

Retail traders have invested in heavily shorted stocks like AMC and GameStop, in an effort to squeeze short sellers, who have lost billions on their bets. But shorts haven’t given up as short interest in the stocks is 21%, according to MarketBeat data.

If you’re a Millennial or Gen Z investor willing to share your investing experience, reach out to the reporter of this article at ndailey@insider.com.

Read more: Morgan Stanley identifies 28 underappreciated, high-quality stocks to own as the market’s most expensive names are due to continue underperforming

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