Is Roaring Kitty of WallStreetBets Eyeing Any More Stocks?

He was right about GameStop. So what is Roaring Kitty, a WallStreetBets subreddit user, saying about stocks now? Is he eyeing other stocks?

Rachel Curry - Author

Feb. 4 2021, Published 10:48 a.m. ET

With 336,000 YouTube subscribers, Roaring Kitty was touting the potential of GameStop (NYSE:GME) back in August 2020. This was five months before retail investors at large actually started to squeeze hedge funds out of their short position. By Feb. 3, Keith Gill—Roaring Kitty's real name—revealed that he lost $13 million during the previous trading day as GameStop shares fell 60.26 percent. 

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Despite his shares' sunken value, Roaring Kitty has made a name for himself well beyond the WallStreetBets subreddit.

Roaring Kitty hasn't sold his GameStop shares

Roaring Kitty has professed to holding a plethora of GameStop shares—50,000 of them, to be precise—as well as 500 call options. He purchased all of them in June 2019 when the value for the lot was just $53,000.  

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Roaring Kitty has maintained his position, despite the massive fluctuations in value over the course of the last few weeks. Considering the low price at which he snagged the GameStop shares, he's still well in the green from his cost basis. As of Feb. 3, he still had $7.6 million in capital gains.

SEC's comments on Roaring Kitty and WallStreetBets

It wouldn't be America if the SEC didn't have its word on the market escapades of recent weeks. In late January, the committee said that "extreme stock price volatility has the potential to expose investors to rapid and severe losses and undermine market confidence." 

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The statement might have been influenced by Treasury Secretary Janet Yellen, who arranged a meeting with the SEC, the Fed, and others for Feb. 4.

Roaring Kitty is a chartered financial analyst. If the SEC determined that he breached the fiduciary standard, he could potentially be charged.

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Roaring Kitty's next stock callout on WallStreetBets

Source: Roaring Kitty

Roaring Kitty YouTube video from Aug. 2020

Roaring Kitty has been talking about GameStop for months now, and he hasn't dabbled in much else. In fact, the YouTuber mentioned that he would be taking some time off from his web presence shortly before GameStop stock hit its peak. The news came after a seven-hour livestream where his fans watched him react to the stock's surging capacity.

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Currently, many of the WallStreetBets' 8.5 million readers are chatting up on the basis of speculation, but many are holding firm for a GameStop comeback. Not everyone bought GameStop years ago and it can't be denied that Roaring Kitty has influenced some investors to their doom. Is that responsibility really on him?

Keith Gill's net worth

We know that Gill is sitting on more than $7 million in profits from his GameStop shares. However, if there's one thing investors should know about the stock market, you don't have realized gains until you actually sell. As far as the rest of Gill's net worth, that answer isn't clear. He probably won't disclose his net worth anytime soon.  


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