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Short-sellers betting against meme stock AMC Entertainment lost $512 million on Monday when the movie theater chain rallied 15%, according to Reuters, citing data from analytics firm Ortex.
AMC rose further in Tuesday's session, jumping by as much as nearly 13% to $64.14.
The loss is suffered by short sellers on Monday is massive, but it doesn't come close to the $2.8 billion that short-sellers lost at one point in May when shares rallied by as much as 127% in a single day
The activity is reminiscent of the GameStop mania that caught Wall Street by storm early this year when Reddit traders coordinated online to snap up shares in companies with high short interest from Wall Street firms.
The short-squeeze frenzy around the handful of meme stocks has picked up once again after losing steam following the intial episode earlier in the year.
In addition to the old favorites, a new group of meme stocks has emerged during the latest rally. In the past 24 hours, AMC was the third most mentioned stock on Reddit, after Clean Energy Fuels and Petco, according to data by Quantitative Quiver. Other recent stocks discussed on Wall Street Bets include Wendy's and Invesco Mortgage Capital.
The theater operator's stock has rallied more than 2,580% this year on the back of retail-trader enthusiasm.
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