Meme stock $BGFV is flying amid Reddit-induced frenzy

Big Five Sporting Goods (NASDAQ:BGFV), known as Big F***ing Value by Redditors, is up by 10% on Tuesday, closing in on an all-time-high of just above $42.

The stock is the latest short-squeeze by Reddit investors who previously went after institutional investors by collectively buying shares in Gamestop and AMC Entertainment.

Over the past month, $BGFV, “the ultimate dark horse that hedge funds don’t want you to know about”, is up by 65.13%.

Within the thread linked below is an outline of a plan of how Redditors could participate in the multi-faceted strategy to squeeze out short-sellers.

However, unlike companies Reddit investors have targeted in the past, $BGFV has sound fundamentals as an investment opportunity.

For a start, the company has a strong balance sheet and has repurchased over 100,000 shares in Q3. Secondly, $BGFV boasts a positive earnings-per-share figure, as well as a strong price-to-earnings ratio. Finally, it is a possible target for an acquisition and it has advantageous political and supply chain conditions.

These factors, combined with massive short interest presenting GME like technicals, mean there is a strong argument that it is undervalued.

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