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What Does Meme Stock Mean

We are constantly updating our database with new slang terms, acronyms, and abbreviations. Following that, a meme stock could be defined as a stock that draws a lot of attention from a large group of people thanks to the power of social media sharing. A meme stock is a stock that has seen an increase in volume not because of how well the company performs, but rather because of hype on social media and online forums like Reddit. This page explains what the slang term "Meme stock" means. The definition, example, and related terms listed above have been written and compiled by the Slangit team. Meme stock communities can thus greatly influence the prices of those shares through coordinated efforts to, for example, initiate short squeezes in heavily shorted names. For this reason, these stocks often become overvalued, seeing drastic price increases in just a short amount of time. According to Merriam-Webster Dictionary, a meme is "an idea, behavior, style, or usage that spreads from person to person within a culture; an. A meme stock's value is a result of its hype on social media and not necessarily the company's performance. GameStop is a prime example. "Meme stocks" is slang used in trading world to refer to stocks with heavy-short interest that can be artificially manipulated.

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What Does Meme Stock Mean Info

What does the meme stock mania really mean? According to Merriam-Webster Dictionary, a meme is "an idea, behavior, style, or usage that spreads from person to person within a culture; an. By this definition, Dogecoin β€” the cryptocurrency that was launched as a parody β€” is a meme stock. Meme stocks are transforming the market thanks to Reddit traders. There'd be no meme stocks without Reddit and WallStreetBets. There's a social sentiment indicator in the stock market that helps investors determine how a particular company is performing in terms of popularity. The definition, example, and related terms listed above have been written and compiled by the Slangit team. Here's what it means to be a meme stock β€” and why they're viewed as a whole new asset class. A meme stock's clout grows on social media, which means it stems from social sentiment. A meme stock is any publicly-traded company that is facing excessive trading volume from retail investors on social media.

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