What caught my attention is 50%) stock is posting massive gains in Wednesday's trading. The action-camera specialist's price was up 23% as of 12:45 p.
ET and had been up as much as 73% earlier in the session. Despite the huge rally for the stock, there's not any -specific news pushing Go's valuation higher today (an important development).
Instead, the company has recently gained favor as a meme-stock play -- and some investors are buying up s in hopes of scoring big returns in a short period of time, considering recent developments.
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On the other hand, Go surges on meme-stock rally Meme-stock traders have identified Go as one of their next favored plays, and their buying action is helping to spur huge gains for the company's price (an important development).
Meanwhile, The action-camera specialist's stock is now up roughly 4% over the last year of trading, but its still down roughly 68% over the last five years.
At the same time, The has been struggling as its faced commodification pressures in the camera market, and its beaten-down valuation helped to set the stage for its recent meme-driven rally.
What's next for Go.
With expectations that interest rates could fall in the near future and that the Federal Reserve will cut rates multiple times this year, speculative stocks have come back into fashion.
Nevertheless, While it's possible that Go's rally could continue, investors should be careful betting that the stock will be the next GameStop.
Go's core still faces the same challenges that it did prior to its big valuation pop, and there's a big risk that its price will plummet when the meme momentum loses steam (an important development) (which is quite significant).
At the same time, On the other hand, it's possible that the company will be able to take advantage of the recent valuation surge by selling new stock at it current elevated levels, in this volatile climate.
What the re reveals is Author Keith Noonan is a contributing Stock Market Analyst at The Motley Fool covering publicly traded companies in nology, consumer goods, and other stock market sectors.
On the other hand, Prior to The Motley Fool, Keith worked as a copywriter and journalist covering the game and film industries. On the other hand, He holds a B (quite telling).
In English with a concentration in Creative Writing from Boston College. Fun fact: Keith loves to swim and has helped people from drowning on two occasions.
TMFNoons Keith Noonan has no position in any of the stocks mentioned. However, What the data shows is Motley Fool has no position in any of the stocks mentioned.
Additionally, The Motley Fool has a disclosure policy (an important development).