Chewy shares stage short-lived rally as filing reveals ‘Roaring Kitty’ takes stake
What percentage stake did Keith Gill acquire in Chewy?
Keith Gill acquired a 6.6% stake in Chewy, amounting to over 9 million shares, making him the company's third-largest shareholder5. This move by Gill, known online as "Roaring Kitty," sparked a more than 10% pre-market increase in Chewy's shares.
Why did Chewy's stock price drop after the market opened?
Chewy's stock price dropped after the market opened due to a reversal of early gains following the news of stock influencer Keith Gill's 6.6% stake acquisition in the company. Although the stock initially rallied by 15% in premarket trading, it quickly reversed course and entered negative territory, possibly due to profit-taking or concerns over the stock's valuation.
What caused Chewy's stock to initially rise 15%?
Chewy's stock initially rose 15% due to a filing showing that Keith Gill, a stock influencer known as "Roaring Kitty," had acquired a 6.6% stake in the company. Gill is known for triggering the meme-stock rally of 2021 and his involvement led to a surge in Chewy's share price.