Meme Stock Traders Predict New Favorite Will ‘Swallow Gaming Industry’


Corsair Gaming (CRSR) is the most recent darling amongst retail merchants, as Reddit discussion board Wallstreetbets predicts it can “swallow the gaming industry and be a millionaire stock maker.” CRSR inventory gapped up.




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The Fremont, Calif.-based firm makes {hardware} elements, equipment and peripherals utilized by avid gamers and content material creators. Corsair’s gaming keyboards, mice, headsets, controllers and seize playing cards are widespread model within the esports trade.

Unlike different widespread meme shares like online game retailer GameStop (GME) and cinema operator AMC Entertainment (AMC), Corsair inventory has strong fundamentals.

The firm went public in September 2020 and has profited from accelerating gross sales in the course of the pandemic, as individuals sought home-based leisure throughout lockdowns. In the newest quarter, EPS rose 383% to 58 cents on a 72% gross sales enhance to $529 million.

Individual merchants on social media platforms like WallStreetBets and Stocktwits have inspired buyers to pump cash into closely shorted shares, creating what is named a brief squeeze, which pushes inventory costs up. As a outcome, GME inventory has skyrocketed 1,086% and AMC inventory has gained a spectacular 2,506% because the starting of the 12 months.


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CRSR Stock

Shares gapped up 12% to 36.29 on the stock market today. Earlier, CRSR inventory was up as a lot as 33%, hitting an intraday to a excessive of 42.97 and popping above its 50-day line, in keeping with MarketSmith chart analysis. The relative strength line spiked up with the value surge.

Novavax (NVAX) jumped as a lot as 9% in early buying and selling earlier than giving up most of these beneficial properties. Another healthcare-related meme shares, Clover Health (CLOV) was down 4.6%, after hovering 67% final week.

Meanwhile, pure gasoline supplier Clean Energy (CLNE) additionally grabbed consideration amongst retail buyers on Monday. CLNE inventory jumped 10%.

Longtime Reddit favorites GameStop stock was down 4.4% and AMC was up 12%.

Follow Adelia Cellini Linecker on Twitter @IBD_Adelia.

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