Roaring Kitty: Man Behind 2021's Meme Stock Surge, Driving GameStop, AMC Rally Again

By John Lopez

May 13, 2024 02:11 PM EDT

The man behind 2021's meme stock frenzy, "Roaring Kitty," has resurfaced, sending GameStop and AMC shares soaring again. 

Keith Gill, also known as "Roaring Kitty," has recently returned to the online spotlight after three years, sparking a new wave of interest among chronically online retail investors.

Roaring Kitty Resurfaces Online, Driving GameStop, and AMC Rally

On Monday, GameStop shares surged over 100%, with trading halted multiple times due to volatility. AMC, another meme stock, also jumped 43%, while Reddit saw a 9% increase (via CNBC). 

Gill's reappearance sparked enthusiasm. His X post featuring a meme showing a gamer leaning forward to play the game more seriously garnered over 63,000 likes in just 13 hours.

Gill's influence in the meme stock craze of 2021 was profound. His posts on Reddit's Wallstreetbets rallied retail investors against hedge funds, triggering what is known as a "short squeeze." This phenomenon saw hedge funds, like Melvin Capital, suffer staggering losses of an estimated $5 billion.

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GameStop Prepares to Report Quarterly Earnings
CHICAGO, ILLINOIS - MARCH 16: A GameStop store operates in a strip mall on March 16, 2023 in Chicago, Illinois. The gaming retailer, which is scheduled to report earnings on March 21, saw its stock price jump more than five percent today.
(Photo : Photo by Scott Olson/Getty Images)

Meme Stock Resurgence

The resurgence of GameStop and other meme stocks comes amid renewed interest from individual investors and mounting short interest. 

Despite GameStop's discouraging business fundamentals, its stock has soared 57% in May alone. However, GameStop's fiscal fourth quarter revenue was $1.79 billion, down from $2.23 billion the previous year.

The GameStop saga, which saw the stock rise from as low as $3 to an all-time high of $120.75 in January 2021, led to congressional hearings and even inspired the movie "Dumb Money." 

The volatility surrounding GameStop prompted brokerages, like Robinhood, to restrict trading in heavily shorted stocks, leading to legal challenges.

While Gill denied using social media to manipulate stock prices and faced allegations of misrepresentation, his influence on retail investor sentiment remains undeniable.

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