Meme stocks are typically driven by a sudden increase in viral activity rather than a company's fundamentals or growth prospects. As a result of a sudden surge in online interest, such stocks typically run up in price significantly within a short period.
Reddit group r/wallstreetbets has become popular among retail traders and investors, where participants discuss equities and options trading. The Reddit forum has helped spark a meme-stock phenomenon again. The renewed investor interest in meme stocks is evident in the Roundhill MEME ETF's 17.1% gains over the past five days.
