Democracy at work.. Meme stocks are back (check out AMC!). The retail investor has more power than ever (part deux)

In early May I wrote a post entitled "Gamestop, Dogecoin and the democratization of investing (and manipulation of TSLA earnings). Good or Bad?" Here is the link:

https://thrivingwithinterest.blogspot.com/2021/05/gamestop-dogecoin-and-democratization.html

Given the movement in AMC today, it appears that this is as true as ever. Although there could be "some" fundamental reasons for an AMC stock price rise (the economy is reopening and we just had the biggest box office weekend in over a year with $100 mil. + of receipts) the fact that the stock is up for the 6th time in 7 sessions and up 6 times in just over a week is a wee bit overheated. 

This appears to cement the fact that retail investors are now as strong as ever. One could have thought that after the January roller coaster ride and lack of significant price moves over the past few months the retail investor had retreated into his/her shell. Well that is no longer the case and it appears that they will continue to thrive in this market. Well done them and well done to all those who have had the guts to get involved. All of this leads me to believe that we will see some of the other highly volatile stocks (and cryptos) will have significant moves, especially during these dull summer months... 

Other similar stocks were also swept up into this folly: BBBY and BB.

There is some fundamental research to back these types of moves. Read the paper here: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3821973. The leading cause of price jumps is government news/policy. But don't discount out the 17% of times that price moves are sometimes due to lack of news. As mentioned last month, I believe that this is due to the increase in importance of the retail investor who can communicate with peers as easily as ever.

Good luck and hang on tight!