Beyond Meat stock jumped on Thursday, continuing a trend over the past week, amid signs the fake-meat maker was the latest name to get sucked up into the Reddit-fueled meme stocks craze that catapulted GameStop (GME) and AMC Entertainment (AMC).
GameStop, AMC and a handful of other stocks launched higher at the beginning of this year. The exact identities of the traders pushing prices higher is not clear. But the Reddit board WallStreetBets has largely been credited with launching an effort to upend short sellers who had bet those stocks would fall.
That fight spilled over into a broader crusade against hedge funds, larger investors and even big trading platforms like Robinhood. Gains in the stocks have come and gone since then.
Bank of America this week said Beyond Meat stock had been among the most mentioned stocks on Reddit over the past two weeks. The most-talked-about stocks on Reddit, it said, included AMC, GameStop, Virgin Galactic (SPCE), Athene Holding (ATH) and Plug Power (PLUG).
BofA also said the retail craze could hang around for a while, due to “zero commissions, more time at home and high savings rates,” according to a post on Seeking Alpha.
However, the frenzy could cool this year as stimulus benefits max out, the economy reopens and regulators potentially crack down, according to the post.
Beyond Meat Stock
Shares were up 14% in the stock market today. Beyond Meat stock has jumped about 40% from a low two weeks ago, retaking its 50-day line along the way and nearing its 200-day line, according to MarketSmith chart analysis.
GameStop stock rose 1.4%, while AMC fell spiked 16% to a new high. The gains for GameStop and AMC on Thursday followed a rally earlier in the week.
Beyond Meat stock fell through much of this month, after its first-quarter earnings missed estimates.
Coronavirus restrictions and reticent customers continue to weigh on its restaurant business. But the company said it had begun to see a “slow thaw” in that business both in the U.S. in some areas abroad.
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