Shares of GameStop more than doubled on Wednesday. Earlier in the week, the rise almost bankrupt hedge funds that bet against it and Thursday more funds took heavy losses. Some analysts say it could have been a professional institutional investor that spotted the opportunity first. But it was stay-at-home retail investors that grabbed the headlines as they piled into the stocks and cleaned out the hedge funds. Now the SEC and even the Whitehouse say they’re looking into the trade.
GameStop shares touched $350 a share on Wednesday. Some of the professional investors who bet on the stock’s demise have thrown in the towel. Citron Research, the firm that said GameStop was going to $20, said Wednesday it closed out the majority of its losing bet the day before.
