GameStop Stock Falls 39% After Roaring Kitty Livestream Disappoints: 'He Had 3 Years To Prepare,' 'Hard To Think Of A Catalyst To Drive $GME Back Up After This'

Zinger Key Points
  • GameStop shares fell 39% Friday after optimism for Roaring Kitty's YouTube return was met with disappointment.
  • Over 600,000 people tuned into Roaring Kitty's livestream but the stock fell with a lack of new updates.

A highly anticipated return of Roaring Kitty, aka Keith Gill, on YouTube saw over 600,000 live viewers tune in to a livestream.

While many were looking for an updated thesis on why Gill is investing heavily in GameStop Corp GME once again, several investors were left with more questions after the stream.

Reactions to Roaring Kitty's Livestream: A livestream that saw Gill say that he was heavily invested in GameStop due to many of the same reasons as he invested in 2021 and for having a strong belief in CEO Ryan Cohen left some investors unsatisfied.

The livestream also came after GameStop announced first-quarter financial results and filed for an at-the-market offering to sell up to 75 million shares.

"GameStop pre reports crap earnings and plans to sell 75 million more shares for billions more. Is Kitty in with Cohen to pump and dump GameStop? It seems very shady this whole thing…beware," Investment Advisor Ross Gerber tweeted.

Gerber said people need to realize that they are getting "worked over" by GameStop and Cohen.

"This pump has allowed $GME to dump 120 mil shares on the public. No question they wouldn't have been able to do this without the Kitty."

Gerber criticized the stream and said he couldn't watch for more than five minutes.

"$GME isn't worth more than the cash on the books. He's in on it."

Gerber told his followers that he's known and invested in gaming and GameStop for more than 20 years.

"You might not like what I'm saying. But it is what it is. Don't be played a fool."

PreMarketPrep co-host Dennis Dick said ahead of the stream that everyone wanted to know whether Roaring Kitty sold any shares. A live portfolio update revealed that he didn't.

Ahead of the livestream, Dick asked "to meme or not to meme" when considering to buy meme stocks ahead of Roaring Kitty's YouTube return.

With GameStop shares rising Thursday, Dick said "This is Roaring Kitty's world, and we are all just living in it."

After watching the livestream, Dick offered a potential warning for GameStop investors.

"Hard to think of a catalyst to drive $GME back up after this."

Social arbitrage investors and "Dumb Money" co-host Chris Camillo shared several potential risks ahead of the livestream Thursday night. After watching the livestream, Camillo sold his GameStop shares.

"Exited my $GME position. For anyone watching the @TheRoaringKitty stream it should be self explanatory," Camillo tweeted.

Camillo tweeted Thursday that "normy dads in the neighborhood" had been hitting him up for GameStop trading tips, mirroring the interest in the stock in 2021.

When a user asked why Camillo exited his position, the investor confirmed it was a lack of an update on the thesis from Gill.

"Or at-least an update to his plan from '21 to excite/pump his base of $GME HODlers. He had 3yrs to prepare for today's stream. I feel for his followers and hope it somehow works out for them in the end."

Barstool Sports founder Dave Portnoy recently shared that he had invested in GameStop shares. He wasn't a fan of Roaring Kitty's livestream.

"The Roaring Kitty live stream is kinda disappointing. Not gonna lie," Portnoy tweeted.

Related Link: GameStop Dynamics ‘Not The Same’ As 2021, Says Andrew Left: ‘Roaring Kitty Premise Is Gone’

Why It's Important: The highly anticipated livestream saw shares of GameStop soar Thursday during the regular trading session and after-hours trading market.

The stock halted several times Friday, including multiple times during Roaring Kitty's livestream.

This marked the first time on YouTube in three years for Gill and marked the first time people had seen him publicly after his return to social media, which included memes and videos but no footage to confirm it was him posting.

Gill confirmed it was him posting and it was his own money invested in GameStop, which had been concerns.

Showing up 26 minutes late to the stream and pretending to be hurt may have started the stream off on a negative note for those new to Gill's streaming style.

The big disappointment mentioned by the parties above is that Gill didn't share any new information or new reasons to invest in the stock.

Instead Gill's thesis is largely based on GameStop having lots of cash and Cohen transforming the company.

GME Price Action: GameStop shares closed down 39.38% to $28.22 on Friday. Shares opened the trading week Monday at $40.19 thanks to optimism from Gill's updated GameStop position.

Read Next: EXCLUSIVE: Andrew Left Has ‘Small’ Short Position In GameStop As Roaring Kitty Nears YouTube Return

The image was created using artificial intelligence MidJourney.

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Posted In: NewsSocial MediaMarketsMoversMediaChris CamilloDennis DickKeith GillMeme StocksRoaring KittyRoss GerberRyan CohenStories That MatterYouTube
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