Shares of GameStop and Bed Bath & Beyond are no longer trading on fundamentals, Bank of America Securities said about the so-called meme stocks in telling clients it will ditch coverage of the video-game retailer and suspend its buy rating on the housewares seller.
There’s been a boom in recent trading activity in GameStop, Bed Bath & Beyond, and other stocks favored by retail investors on social media sites such as Reddit’s Wall Street Bets forum. Retail traders this week have contined to fight against hedge funds shorting shares of movie-theater chain AMC Entertainment. BofA noted that GameStop’s price had appreciated by 56% over seven sessions and Bed Bath & Beyond stock had soared by 62% in one session.
