Home / Brexit / American Airlines spikes 31% as Reddit traders direct their attention toward another heavily shorted stock American Airlines spikes 31% as Reddit traders direct their attention toward another heavily shorted stock MIFID II Reporter January 28, 2021 Brexit No Comments Joe Raedle/Getty Images American Airlines spiked as much as 31% on Thursday as a short-squeeze rally took hold. The company had announced better-than-expected fourth-quarter earnings on Thursday. “AAL the next GME?” one Reddit user said in a post on Wednesday. Sign up here for our daily newsletter, 10 Things Before the Opening Bell. American Airlines soared as much as 31% on Thursday as traders who frequent Reddit’s Wall Street Bets forum sparked short squeezes in a growing list of stocks this week. “AAL the next GME?” one Reddit user said in a post on Wednesday. After squeezing hedge-fund managers out of GameStop, Reddit investors have set their sights on other highly shorted companies. American Airlines seems to have fit the bill, with about 30% of the float sold short. The company had a catalyst to set the move on fire: fourth-quarter earnings. On Thursday, the airline operator reported better-than-expected earnings results, beating both revenue and income estimates. Shares hit a high of $30 in Thursday’s premarket trading session, representing a gain of as much as 81%. And the gains in short-squeezed stocks don’t appear to be letting up yet, as evidenced by GameStop, which soared by more than 40% in Thursday-morning trading, to a high of nearly $500. Read more: MORGAN STANLEY: Buy these 17 stocks with strong earnings that are expected to outperform into 2022 even if the broader market sinks Read the original article on Business Insider Source link Tweet Related Posts Merton scraps building company to avoid Brick by Brick failure No Comments Is the property market on shaky foundations in 2021? No Comments Crossrail did not do survey on Soho venue despite ‘high risk’ to punters : CityAM No Comments After Topshop owner Arcadia’s demise, what now for UK clothes shopping? | Business No Comments Add a Comment Cancel ReplyYou must be logged in to post a comment.