Beyond Meat's 1,600% 4-Day Rally Wasn't a Short Squeeze -- It Was Something Far More Dangerous

If you invest long enough in the stock market, you're bound to witness moves that'll leave you bewildered and speechless. For instance, clinical-stage traditional Chinese medicine company Regencell Bioscience rallied as much as 60,000% on a year-to-date basis despite having around a dozen employees, no prospects of any near-term revenue, and having never undertaken a large-scale clinical trial.The latest of these eye-popping moves comes courtesy of plant-based meat company Beyond Meat (NASDAQ: BYND), whose shares surged from a closing value of $0.52 on Oct. 16 to as high as $8.85 in pre-market trading on Oct. 22. In a four-day stretch, Beyond Meat's stock jumped by 1,600%, with daily volume surpassing 2 billion shares in consecutive sessions on Oct. 21 and Oct. 22!Moves of this magnitude, which are spurred by social media interest, harken to the days of the meme stock frenzy during the COVID-19 pandemic. With stimulus checks in hands, investors piled into popular, often heavily short-sold stocks, regardless of business fundamentals, and hoped for a short squeeze that would make them quick profits.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool