SEC Reports GameStop Icon Roaring Kitty Acquires 66 Stake in Chewy

GameStop Sensation Roaring Kitty Buys 6.6% of Chewy Shares, SEC Reports
Ruholamin Haqshanas
Last modified:
July 1, 2024, 10:30 EDT
|
2 minute read
Meme trader Keith Gill, widely recognized for his role in the GameStop trading frenzy, has revealed that he holds a 6.6% stake in Chewy, according to a recent filing with the United States Securities and Exchange Commission (SEC).
The SEC Schedule 13G filing, dated June 24, shows that Gill, an individual investor, owns 9,001,000 shares of Chewy’s Class A common stock.
Based on the closing price of 27.24 on Friday, the shares are valued at $245.18 million, making Gill the company’s third-largest shareholder.
Chewy Shares Surge After Gill’s Filing
Following the filing, shares of Chewy surged in premarket trading on Monday, reaching a peak of more than 20% at one point.
Currently, the company’s shares have risen by over 11% in premarket trading, according to data from MarketWatch.
Chewy is an online retailer specializing in pet food and other pet-related products.
It is worth noting that the SEC filing included a section that read: “Check the appropriate box to designate whether you are a cat.” An “x” was placed next to the response that read: “I am not a cat.”
This line was also part of Gill’s statement in a series of congressional hearings about the GameStop trading mania of 2021.
In contrast, several other meme stocks saw a decrease in value on Monday.
GameStop (GME), the meme stock closely associated with Gill, experienced a decline of over 7% during Monday’s trading session.
Similarly, AMC Entertainment (AMC) saw a pre-market decline of 2.2% before the market opening.
Gill Faces Class-Action Lawsuit
Meanwhile, Gill is currently facing a class-action lawsuit related to his social media posts.
The lawsuit, filed on June 28 in the U.S. District Court for the Eastern District of New York, accuses Gill of engaging in a “pump and dump” scheme.
Last week, GameStop’s stock saw a remarkable surge of over 90% during premarket trading after a Reddit post by Gill revealed a massive $116 million bet on the gaming retailer.
Gill’s post, which appeared on his Reddit account, marked his first appearance on the social media platform in three years.
The renewed interest in Gill’s involvement has led to speculation about whether he will continue to share his trades online after his three-year hiatus, especially given the recent cryptic posts and memes shared by Gill on X.
In 2021, Gill, a financial analyst turned Reddit investor known as “Roaring Kitty,” played a central role in the GameStop short squeeze.
He argued that the video game retailer was undervalued, sparking a surge of retail investor interest in the stock through his posts on Reddit’s r/wallstreetbets. This ultimately led to a 1600% increase in the stock price and put pressure on hedge funds betting against it.
Gill later testified before Congress, reaffirming his position as a passionate investor who saw value in GameStop.