GameStop stock surges 19% as retail investors pile into meme stocks again

gamestop line

GameStop shares jumped as much as 19% on Wednesday, as retail investors piled into meme stocks once again.

The video-game retailer’s stock price soared as high as $294 – a 550% increase in the space of 11 trading days. A key catalyst for the rally was the news that activist investor and Chewy cofounder Ryan Cohen will spearhead GameStop’s e-commerce transformation.

Several other stocks that are fan favorites on Reddit’s Wall Street Bets forum posted gains on Wednesday. AMC Entertainment shares rose as much as 15%, Express gained 30%, and Koss jumped 65%.

Despite their recent gains, GameStop shares are still down from their peak this year. They skyrocketed more than 2,500% in January, from about $17 at the start of the year to an intraday high of $483 on January 28.

The GameStop short squeeze in January hammered short-sellers, rattled financial markets, and prompted Congressional hearings to sort through what happened.

The event also sparked criticism from top investors. Warren Buffett’s business partner, Charlie Munger, likened it to people gambling on racehorses. Similarly, “The Big Short” investor and former GameStop shareholder Michael Burry denounced the buying frenzy as “insane” and “dangerous.”

Here’s a chart showing the sharp increases and declines in GameStop’s stock price this year:

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