And it’s also time to take a look at how these stocks may fare in 2022. If you’re thinking about buying and selling meme stocks, keep in mind that you will probably have to pay taxes on your profits. Capital gains tax rates are especially high on stocks you held for less than a year. The investing information provided on this page is for educational purposes only. NerdWallet, Inc. does not offer advisory or brokerage services, nor does it recommend or advise investors to buy or sell particular stocks, securities or other investments.

He currently researches and teaches economic sociology and the social studies of finance at the Hebrew University in Jerusalem. Shares are up nearly 47% this year as investors figure the company has a path forward. Analysts think the company will return to profitability, making an adjusted $37 million on slightly higher revenue of $504.6 million. On the date of publication, Tezcan Gecgil did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. Growth was mainly fueled by the food-service business, which significantly benefited from the recovery of the global economy.

Anyone with a Facebook or Twitter account has encountered a meme, like the Drake Hotline Bling image or the two “Always Has Been” astronauts. Usually, people use memes repeatedly with different quotes or connotations, which enables them to spread virally over social media. If you’re unsure of which companies those are, you can always take the guesswork out of investing with an Investment Kit from Q.ai. To learn more, check out the Q.ai Short Squeeze Kit for investments in this unique category of stocks. The Short Squeeze Kit gathers historical and technical financial intel on thousands of U.S. equities, including relevant sentiment information. So it may be interesting to look at 10 meme stocks that have been part of the this movement in 2021.

of the Best Meme Stocks to Double Down on in 2023

Yes, it’s the third straight quarter of declining revenue for the largest publicly-traded company in the world. Tilray may be a situation where going against the grain could pay off. U.S. legalization may not be a big catalyst for it anymore, much less a likely one. Ones that could send the stock (at around $7.50 per share today) back to much higher prices. And with the company losing money prior to the pandemic in its prior business model, this is still a speculative bet.

What makes this number even more shocking is that the company had a market cap of roughly $450 million at the end of 2020. A life-long gamer and tech enthusiast, he has a particular affinity for analyzing technology stocks. Muslim holds a bachelor’s of science degree in applied accounting from Oxford Brookes University. On the date of publication, Muslim Farooque did not have (either directly or indirectly) any positions in the securities mentioned in this article. On the date of publication, Chris Markoch did not have (either directly or indirectly) any positions in the securities mentioned in this article.

• They would require market makers to directly compete for trade execution from retail investors to increase competition.
• But throughout the year, it’s had more success tapping into this demand.
• GM’s leadership claims that profits from electric models will match those from gas-powered cars by 2025.
• On the date of publication, Chris Markoch did not have (either directly or indirectly) any positions in the securities mentioned in this article.

During the meme stock craze of 2021, Musk tweeted several times about GameStop and the meme-themed cryptocurrency Dogecoin, causing both prices to escalate after he published his tweets. If signs emerge that Altria might not succeed on that front, bail. You’ll have collected a bunch of dividend revenue in the process and share prices are unlikely to suffer much even if that happens, making this one of the meme stocks to watch.

Retail investors are also likely to remain keen to pick up on the latest meme stock. Dominated by younger investors, meme stocks are still seen as a way to generate outsized returns in a short period, especially in the face of rising housing costs and inflation in general. But meme stocks also remain very volatile and risky, and retail investors are likely to be the ones to experience the most losses if it all comes crashing down.

Top Meme Stocks of 2021: Zomedica (ZOM)

Despite news of production issues arising from COVID-19 lockdowns in China, Apple’s positioning remains incredible. Moreover, it remains the largest holding in Warren Buffet’s illustrious portfolio. Additionally, with AAPL stock down over 20% from all-time highs, it’s trading at a hefty discount for value investors. Therefore, all signs indicate this is an excellent time to invest in AAPL stock, as investors benefit from the bear market prices. Revenue for 2021 is expected to be about a billion dollars shy of where it was in 2019.

One of the major investment trends observed in late 2020 and early 2021 was the surge in retail trading. Traditionally, investors look at a company’s financials to see how the business is performing to determine if a company is worth investing money in. Nowadays, if you’re into the meme stock movement, it almost feels like you can just check Reddit or social media to see what company has buzz.

What Are Meme Stocks, and Are They Real Investments?

The stock’s 33% short interest has made it an attractive target for a Reddit-driven short squeeze. Those early meme pioneers, who often found their next meme stock on Reddit, caught the market completely by surprise and were wildly successful as a result. Their first major target was the meme stock Gamestop, which skyrocketed more than 20x in value between 2020 and 2021, reaching a market cap of over $22 billion. The original meme stock, GameStop, is a brick-and-mortar video game retailer that many meme stock traders remember vividly from childhood. GameStop shares rose from around $20 to over $400 in a few weeks, kicking off the meme stock craze. Tesla CEO and social media provocateur Elon Musk is one of those people.

Bear in mind that meme stocks can be especially volatile, so plan accordingly and be prepared to continue investing more over time. Many traders still point to GameStop or AMC, two of the OG meme stocks. However, most of the meme stock volume has transferred to different securities.

Related Stocks

Even so, while it’s gone from $10 to $50, and back to $10 and below, now may be a great time to initiate a position. That said, don’t take this to mean all meme plays are “avoid-at-all-cost” situations. Among the scores of stocks once boosted by the trend, there are plenty that could buck the latest trend, and move higher. But July looks to offer a promising revival for this turnaround play.

This allows veterinarians to run diagnostic tests in their offices that they currently would have to send to an outside lab at additional time and expense. The company has launched a Customer Appreciation Program that will seed the product in veterinarian offices at no cost. The catalyst is that the offices make an agreement to buy the assays https://1investing.in/ that are required to run the diagnostic tests directly from Zomedica. BlackBerry may be best known to some people as the manufacturer of the mobile phone of the same name. And while some people may long to have their BlackBerry, the larger story of the company had to do with the safety and security that was built into the product.

We realize how tempting it is to risk money on a meme stock when your social media feeds are suddenly flooded with posts, reels and tweets about hot gains from the next big winner. However, remember that we can’t ignore the financial results of the companies we invest in. So while it’s exciting to chase a stock with plenty of buzz, you want to invest in financially sound companies that will be around and turning a profit for a long time. It’s almost impossible to make sense of the movements of the BBBY stock price since the meme stock movement began. This summer, the SEC even reached the point where they had to halt trading for BBBY. The stock was up 314% at a few points during the month before crashing back down to reality.

Contributing Author: Stocks, Fundamental and Technical Analysis

Unlike online pump-and-dump schemes aimed at defrauding unwitting investors, the promotion of meme stocks largely involves buying and holding with the above-mentioned strong hands even after the price spikes. Management anticipates breaking even in the third quarter and delivering $40 million to $60 million in profits for fiscal 2021. As 18% of SPWR shares are currently held short, investors might see a short squeeze in the coming months. SPWR stock currently trades for about $23 and is down 11% so far this year. The shares exchange hands at 37 times forward earnings and 3.6 times trailing sales. In January, investors saw BYND stock rally more than 50% over a three-day period.

These days it is less about influencing heavily shorted stocks and much more about sharing investing thoughts through social media. The company maintains a high payout ratio, but it’s a strategy meant to keep investors engaged with the company as it pivots. That’s what production system is preferred by just in time why the company has pledged to target mid-single-digit dividend increases through 2030. Altria remains one of the safest high-yield stocks available to investors right now. Indeed, Carvana’s progress toward that goal is very evident in its recent earnings results.

Rivian has had hiccups getting its R1T electric truck out the door, but it’s making progress. On the date of publication, Josh Enomoto did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. But the meme-stock resurgence should be raising red flags for even the most bullish of strategists.

Further, Draftkings now anticipates that the company will now record $190 million more in midpoint revenues than it had previously expected. On the date of publication, Thomas Niel did not have (either directly or indirectly) any positions in the securities mentioned in this article. On the date of publication, Thomas Niel did not have (either directly or indirectly) any positions in the securities mentioned in this article. While no longer much of a meme favorite, it doesn’t need association with this fading trend anymore.

• Several of the stocks listed below are absolute leaders in their respective industries, and among the most important firms globally.
• AMC Entertainment (AMC), on pace to lose nearly $500 million in 2023, is only the fourth best stock in the meme ETF, up 43% this year.
• Single stock ETFs have also recently been introduced, which provide leveraged long or short positions on a single stock.
• It’s going to take years for Virgin Galactic to experience its true “lift off” moment.
• News of these stocks spread like wildfire throughout the internet, causing lots of dollars to flow in from various sources.
• Total revenue surged 71% year-over-year (YOY) to about $262 million.

Beyond Meat’s 24% short interest makes it prone to more Reddit-driven short squeezes in the coming months. The stock currently hovers around $100, down 21% YTD and 44% over the past year. To borrow a quote from a famous Supreme Court justice, it’s something you’ll know when you see it. Meme stocks aren’t a specific sector or class of equities, but a loosely-tied group of securities paraded about by social media influencers, retail investors and pot-stirring CEOs. Put simply, the meme stocks trend was like rocket fuel for SPCE stock in early 2021. With its high concept business plan (space exploration), it’s no shock Reddit traders sent Virgin Galactic from the low $20s per share, to the low $60s per share, last January and February.

Meme stocks are rallying again – and that’s bad news for the market

Our estimates are based on past market performance, and past performance is not a guarantee of future performance. SoFi’s financial services — all unified together via a singular app — got its start in the student loan niche of the industry. But since becoming a public company, the fintech stock favorite has gotten aggressive, expanding its reach and has added a few million new customers in recent years.

So while meme stocks are coming back, they’re not the same types of companies and many still face tough odds. Interestingly, though, this new group of meme stocks is stealing the attention from the old favorites. AMC Entertainment (AMC), on pace to lose nearly $500 million in 2023, is only the fourth best stock in the meme ETF, up 43% this year. And GameStop (GME), following a 50% plunge in 2022, is up 20% this year, landing it tenth.