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Keith Gill, an influential meme stock trader popularly known as “Roaring Kitty,” has divested his entire position in Chewy after acquiring a 6.6% stake in the company earlier in the summer. This information was disclosed in a recent filing with the Securities and Exchange Commission on Tuesday.
Chewy’s stock experienced fluctuations on Tuesday and showed a slight decline as of Wednesday mid-morning, trading at $26.54 per share. Year-to-date, the stock has risen by 18.47%. In July, Gill had acquired over 9 million shares of Chewy, the online pet retail company, with his stake valued at over $230 million at the time. This investment in Chewy marked Gill’s first known venture beyond his previous focus on GameStop.
A connection exists between Gill’s investments, as Ryan Cohen, the billionaire founder of Chewy, now serves as CEO of GameStop, having sold Chewy in 2017. Gill had previously expressed admiration for Cohen through his social media posts.
Gill gained fame as a former office worker who inspired thousands to invest in GameStop, largely through his cat memes and vibrant YouTube streams where he often wore a bright red pirate bandana. This movement led to significant losses for hedge funds betting against GameStop.
His involvement in Chewy raised concerns among the company’s leadership about the potential impact on asset managers who hold shares, due to potential stock volatility driven by retail investors following Gill. This sentiment was shared by a source familiar with Chewy’s thinking back when Gill’s investment was first disclosed in July.
Roaring Kitty accredited his notoriety to the 2021 GameStop saga, through a series of social media posts that caused a significant rise in GameStop shares, attracting substantial retail investments. Gill’s actions led to him gaining a cult-like following among some investors.
Keith Gill’s recent actions have resulted in amusement within investor communities and the broader financial market, despite his complete liquidation of his Chewy holdings.