Why Meme Stocks Like AMC and GameStop Are Crashing Today
Monday isn't a great day for the broad market, but it's a downright terrible one for some of the market's more popular meme stocks. Shares of Sundial Growers (NASDAQ: SNDL) and GameStop (NYSE: GME) are down 2.5% and 11.5%, respectively, as of 2:18 p.m. ET today. AMC Entertainment Holdings (NYSE: AMC) is leading the charge lower, however, with its 14.3% setback. Curiously, there are no damning headlines to point to as the cause for the steep sell-offs.
It's a rough day for these three and other meme stocks, to be sure, including Bed Bath & Beyond (NASDAQ: BBBY) and Clover Health Investments (NASDAQ: CLOV), with the former off to the tune of nearly 6% while the latter is lower by nearly the same.
But it's not as if today's stumbles were sudden or surprising setbacks. AMC Entertainment is now down nearly 50% from its early November high, reaching multimonth lows as a result this morning. Sundial shares are off almost 40% from their peak reached in early November. GameStop stock is also at multimonth lows today, having fallen more than 50% over the course of the past three weeks. Clover is deep into new-low territory as well, while Bed Bath & Beyond are now down 35% from the peak hit with last month's recovery effort.
Source Fool.com
