Microvision, Inc (NASDAQ: MVIS) fell over 23% in the regular session on Tuesday.
What Happened: Shares of the technology company that makes lidar sensors and microdisplays tumbled for no specific reasons as investors likely resorted to profit-taking.
MicroVision shares had shot up significantly for the last two trading sessions with the rise fueled by social media buzz.
The Redmond, Washington-based company maintained its grip over discussions on the Reddit forum r/WallStreetBets — best known for the short squeezes in shares of GameStop Corporation (NYSE: GME), AMC Entertainment Holdings Inc (NYSE: AMC), and Nokia Oyj (NYSE: NOK).
On WallStreetBets, MicroVision has emerged as a clear favorite in recent days. MicroVision attracted 2,451 mentions on the forum, followed by GameStop, which was mentioned 918 times, according to Quiver Quantitative data.
Most Mentioned On r/WallStreetBets In Last 24 Hours, Courtesy: Quiver Quantitative
On Tuesday, “Mad Money” host Jim Cramer said he would rather be on the long side than on the short side of MicroVision.
Why It Matters: MicroVision has emerged as a “meme stock.” S3’s Ihor Dusaniwsky warned that bears could be “squeezed out of their positions due to losses,” as per Reuters.
“We are seeing shorting into a red-hot stock as shorts are looking for a pullback,” said Dusaniwsky.
Price Action: MicroVision shares closed 23.75% lower at $20.16 on Tuesday and rose almost 3.9% in the after-hours session to $20.94.
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