Source: Jin10 Data
In 2021, the well-known short-selling institution on GameStop suffered a heavy loss and is now re-establishing its short position as the stock price crazily soars.
Recently$GameStop (GME.US)$The recent surge in stock prices has attracted outspoken critic Andrew Left, who claims to have taken a new short sell bet against the video game retailer.
On Monday, Gamestop's share price surged 110% pre-market, after US retail investor 'Roaring Kitty' posted a record of $115.7 million accumulation of Gamestop over the weekend.
As early as May, Left had announced his short sell of the company's stock. He said in an interview with Bloomberg, 'I closed in May and went short again today,' and noted that the position was smaller than before but did not disclose the specific scale.
Gamestop's stock price surge at the opening on Monday increased its market cap by about $6 billion and paused trading due to volatility. After resuming trading, the stock gave up some gains and ultimately closed up 21%. The stock is still far below its closing high of $86.88 on January 27, 2021.
Since 'Roaring Kitty' returned to social media, meme stocks have once again become a hot topic in the stock market. He rose to fame in 2021 for rallying retail investors on Reddit.$Reddit (RDDT.US)$Now, in the same way, he has sparked the recent trading frenzy of this troubled video game retailer's stock.
He may also be a hedge fund manager, Left said.
Andrew Left, founder and sole employee of Citron Research, suffered significant losses from short selling Gamestop's stock during the meme stock frenzy in 2021. His company has also become a focus of the US DOJ's investigation into short selling by hedge funds and research firms.
At that time, under the pressure of retail investors' short squeeze, the well-known short selling institution surrendered for the first time. Left issued a statement saying that they would no longer publish short selling reports in the future and focus on going long. This marks the voluntary termination of the most well-known and deadly short-selling institution on Wall Street after 20 years in the business. Afterwards, he continued to write short selling research reports, but at a lower frequency.
I have no ill will towards this company, Left said. 'It's not even a company, it's a trading instrument.'
Editor / jayden