Meme Stocks Suffer Worst Day Since June as Risk-Off Rages




 

(Bloomberg) -- Meme stocks including GameStop Corp. and Bed Bath & Beyond Inc. are tumbling Tuesday as investors bail out of riskier assets in favor of value-oriented companies.

Most Read from Bloomberg

  • Asia's Richest Man Looks to Walton Family Playbook on Succession

  • The 24-Year-Old Aiming to Dethrone Victoria's Secret

  • New York City Is Building a Wall of Oysters to Fend Off Floods

  • The Women Behind Historic House Designs

  • From Bathhouses to Fisheries, Hidden Inflation Is Creeping Across Japan

A group of 37 retail-trader favorites tracked by Bloomberg fell 5.5% Tuesday, the worst drop for the group since mid-June. The newfound caution was also reflected in the tech-heavy Nasdaq 100, which slid 0.5% in the face of rising interest rates, and with Wall Street generally shying away from unprofitable companies.

GameStop and Opendoor Technologies Inc. were the worst performers as individual investors opted to flip thinly traded biotech stocks, rather than pile back into meme stocks that saw meteoric gains turn to pain earlier this year. The slump comes just days before millions of Americans will gather with family and friends to celebrate Thanksgiving with turkey -- and perhaps swap investment ideas.

To be fair, many of the meme stocks remain some of this year's biggest winners, with eye-popping rallies at the best-known cult favorites. For investors who got in before the start of the year, AMC Entertainment Holdings Inc. has surged 1,747% while GameStop Corp. jumped over 1,000%.

Here are some favorites among retail traders that are seeing notable losses in Tuesday's trading

  • Vinco Ventures Inc. is down 20%

  • Aurora Innovation Inc. falls 19%

  • Progenity Inc. crashes 10%

  • GameStop drops 14%

  • Opendoor Technologies falls 8.9%

  • AMC Entertainment drops 5%

  • Bed Bath & Beyond slips 7.3%

  • Hims & Hers Health Inc. falls 6.3%

(Updates share movement throughout.)

Most Read from Bloomberg Businessweek

  • Medical Debt Is Crushing Black Americans, and Hospitals Aren't Helping

  • Wildfires Are Getting Worse, and One Chemical Company Is Reaping the Benefits

  • How Child Care Became the Most Broken Business in America

  • Boeing Built an Unsafe Plane, and Blamed the Pilots When It Crashed

©2021 Bloomberg L.P.

COMMENTS

More Related News

Lamborghini to Bid Farewell to Pure Combustion Cars This Year
Lamborghini to Bid Farewell to Pure Combustion Cars This Year

(Bloomberg) -- Lamborghini is gearing up for the final lap of combustion engines powering coveted models like the Aventador as the sports-car maker switches ...

French Nuclear Giant
French Nuclear Giant's Fall Risks Energy Security for All Europe

(Bloomberg) -- The long decline of Electricite de France SA isn't only a political crisis for the government in Paris, it's a growing economic threat for...

Saudi Fund
Saudi Fund's Digital Security Firm Seeks $820 Million From IPO

(Bloomberg) -- Elm Co., a digital security firm owned by Saudi Arabia's sovereign wealth fund, is seeking to raise as much $820 million from an IPO as the...

Ether, Solana, Memecoins Get Crushed in Crypto Market Rout
Ether, Solana, Memecoins Get Crushed in Crypto Market Rout

(Bloomberg) -- The risk-off attitude and selling pressure across the global crypto market showed no sign of abating on Saturday, with Bitcoin sliding 4% and ...

Fed Seen Taking a Step Toward March Rate Increase: Eco Week
Fed Seen Taking a Step Toward March Rate Increase: Eco Week

(Bloomberg) -- Jerome Powell and his fellow Federal Reserve policy makers are expected to signal their first interest-rate hike since 2018, paving the way...

Leave a Comment

Your email address will not be published. Required fields are marked with *

Cancel reply

Comments

Top News: Economy