Cannabis stocks seem to have made a bit of a comeback over the course of the past month and one of the most notable gainers is the Sundial Growers Inc (NASDAQ: SNDL) stock.
Over the course of the past month, the stock has managed to deliver gains of as big as 120% and it continued on Monday. Yesterday, the Sundial stock soared by another 49% as investors continued to pile on to it in a big way. The biggest factor in the continued rally in the stock is due to the fact that it came into focus among members of the Reddit community WallStreetBets.
The group, which boasts of as many as 8 million members, generally targets heavily shorted stocks, and the Sundial Growers stock fits the bill neatly. It could be possible that traders in that community bought the stock with the hope of squeezing out short-sellers. As short sellers scrambled to buy back the stock, the Sundial stock price soared.