Is Sundial Growers Stock the Next GameStop?

Shares of GameStop (NYSE: GME) soared more than 1,600% in January, even though the outlook for the video game retailer continues to look grim in what's become a more digital world for gamers. Retail investors looking to send a message to Wall Street helped the stock reach unimaginable heights, forcing a short squeeze on those who were betting that the company's shares would fall. But with news that some brokerages, including Robinhood, which is popular with young retail investors, have begun imposing restrictions on trading the stock, its value could start coming down in the days and weeks ahead if the buying subsides. Even without restrictions, it's likely that GameStop's shares will start to fall as investors choose to cash out on their lucrative profits.

Retail investors have recently also started buying up shares of Nokia and AMC Entertainment Holdings, two other troubled businesses. And there's another stock that also saw a large surge in its share price last week: Sundial Growers (NASDAQ: SNDL). Could this struggling marijuana company be the next one to take off? Let's take a closer look at why that may or may not happen.

Image source: Getty Images.

Source Fool.com