The three major indexes close fractionally lower on Tuesday, ending a big month for equities on a quiet note. Wednesday’s premarket trading showed all three indexes up around 0.3%. Looking at Tuesday’s winners and losers among the meme stocks, we see one winner trading higher this morning and one loser still falling.
[in-text-ad]
Vinco Ventures
On Tuesday, Vinco Ventures Inc. (NASDAQ: BBIG) traded more than 182 million shares and added more than 15% to its share price. Shares had jumped 40% on Monday. As of Tuesday, short sellers held about 20% of the company’s total float. For the year to date, short sellers had suffered mark-to-market losses that totaled $55 million, including an $11 million loss on Tuesday, according to Ihor Dusaniwsky of S3 Partners.
If you hadn’t heard of Vinco until this week, you are probably not alone. The company announced in July a reverse merger with Zash Global Media, a private media company. The merger would result in Zash becoming the controlling company but retaining the Vinco name and ticker. The company describes itself as a consumer products company that wants to “raise awareness of the Vinco Ventures brand name as a diversified consumer products business through a number of media channels.”
Zash was founded and is controlled by Ted Farnsworth, former CEO of Helios & Matheson, which acquired the ill-fated MoviePass in the summer of 2017, a company that offered a monthly subscription entitling people to view one movie per day in any theatre. Between August and December of 2017, MoviePass signed up 1 million subscribers. By February of 2018, there were 2 million and by June there were 3 million.
[nativounit]
Helios and Matheson filed for Chapter 7 liquidation in January of 2020 after losing truckloads of cash and shutting down in September of 2019. In June, the company reached a settlement with the Federal Trade Commission related to charges that the executives of MoviePass and Helios and Matheson misled customers and failed to protect user data. According to Variety, the companies, former MoviePass CEO Mitch Lowe, and Farnsworth are “barred from misrepresenting their business and data security practices.”
Vinco was trading up about 1% in Wednesday’s premarket session to $8.21. The stock’s 52-week range is $1.11 to $10.00, and the average daily trading volume is around 25.8 million shares.
And the Rest
Support.com Inc. (NASDAQ: SPRT) cooled off somewhat on Tuesday after a torrid winning streak that saw the share price increase by more than 400%. The stock closed down 13.8% on Tuesday and traded down by another 10% in Wednesday’s premarket at $28.30.
AMC Entertainment Holdings Inc. (NYSE: AMC) and GameStop Inc. (NYSE: GME | GME Price Prediction) both closed up on Tuesday, AMC by about 8.8% and GameStop by about half that much. Both were up again in Wednesday’s premarket, with AMC less than 1% higher and GameStop up about 2.4%.
[recirclink id=944865][wallst_email_signup]
Top Gaining Stocks
Top Losing Stocks