

Shares of Chewy Inc. experienced significant volatility on June 27 following a tweet by retail trader Roaring Kitty, also known as Keith Gill. The tweet, which featured a cartoon image of a dog, initially caused Chewy's stock to surge by as much as 34%. However, the gains were short-lived as the stock eventually closed down, erasing more than 24% of its gains. The tweet also influenced the stock prices of other pet-care companies and GameStop, which saw a rise of about 3%. The unusual activity in Chewy's options market was notable, with a significant uptick in out-of-the-money calls. Major shareholder Argos reportedly sold over 3 million shares following the tweet. Chewy has a 15% short interest and a float of only 133 million shares. The incident highlights the continued influence of social media on stock prices, particularly those with high retail investor interest.
Retail keeps getting played hereโฆ. $CHWY $GME https://t.co/3szsi1LBZB
Majority $CHWY holder Argos dumped 3M+ shares after the @TheRoaringKitty dog bitmap was tweeted https://t.co/FDVAJ8bc8n
The latest social-media frivolity this week from the man known as Roaring Kitty sent traders frantically reading into a cartoon featuring, of all things, a dog https://t.co/hhVjkA4B26