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GameStop Stock Soars 80% as Keith Gill’s Latest Post Hints at $116 Million Bet

GameStop’s stock saw a staggering 80% surge in premarket trading on Monday following a revealing post by Keith Gill, known as DeepF— Value on Reddit. Gill’s post included a screenshot hinting at a hefty $116 million investment in the company, causing a frenzy among investors.

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The screenshot, dated June 2, displayed a purchase of five million GME shares at $21.27 each. Additionally, Gill disclosed holding 120,000 call options valued at $65.7 million, set to expire on June 21, which would grant him the ability to buy the stock at $20 per share.

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However, Bloomberg News highlighted that the authenticity of the screenshot could not be independently verified.

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The anticipation surrounding Gill’s post propelled GameStop’s stock to surge as much as 103% in premarket trading, potentially adding around $6 billion to its market capitalization if the gains sustain.

Gill, also known as “Roaring Kitty” on social media platform X, shared an image of a UNO reverse card, symbolizing a shift in gameplay. The post quickly garnered over 5.3 million views within hours of its release, indicating the significant impact of Gill’s statements on investor sentiment.

Analysts from Bloomberg Intelligence cautioned against the renewed interest in meme stocks amid the broader market struggles, suggesting it could signal excessive exuberance and pose risks in the current market climate.

Gill had previously gained prominence in early 2021 for rallying day traders on Reddit to support GameStop stock, challenging short sellers and envisioning the company’s transformation into a prominent gaming destination.

Following a period of silence, Gill resurfaced on social media in mid-May, sparking speculation about his return to active trading. However, GameStop shares experienced a subsequent decline of over 50% after a brief rally, illustrating the volatility inherent in meme-stock investing.

GameStop’s meteoric rise in early 2021, which saw the stock soar over 2,000%, captured widespread attention and propelled the meme-stock phenomenon into the spotlight.

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