Keith Gill, also known as “Roaring Kitty,” has been questioned by Citron Research, led by short seller Andrew Left, regarding his recent $200 million investment in Chewy Inc. (NYSE:CHWY). The research firm suggested that the investment may not be Gill’s own money.
What Happened: On Monday, Citron Research, wrote about Gill’s substantial investment in Chewy, questioning whether it was his own money. The post on X also suggested that Warren Buffet‘s 30% stake in Occidental Petroleum Corporation (NYSE:OXY) seemed like a more compelling investment than following Gill’s lead.
Citron Research wrote, “Unlikely this is his own money. Even selling all his GameStop without paying taxes, it just doesn’t add up.” The note further added, “If you’re looking for aggressive buys Warren Buffett's 30% stake in Occidental looks far more compelling than following Kitty Man.”
See Also: GameStop Shares Take A Hit After ‘Roaring Kitty’ Discloses 6.6% Stake In Chewy And Faces A Manipulation Lawsuit
Why It Matters: Gill’s investment in Chewy came to light after he disclosed a 6.6% passive stake in the company. This revelation led to a surge in Chewy’s stock price, followed by a trading halt due to volatility. Gill, who is credited with initiating the meme-stock craze in 2021, had also recently disclosed a significant position in GameStop Corp (NYSE:GME) stocks and options.
Recently, a class-action lawsuit against Gill was voluntarily dismissed by the plaintiff, Martin Radev, who alleged that Gill manipulated GameStop's stock price.
Andrew Left of Citron Research, who has been a vocal critic of Gill since the 2021 GameStop short squeeze, reiterated his skepticism about the sustainability of Gill’s market influence. Left had previously faced significant losses during the short squeeze and has since adopted a more cautious approach.
Price Action: Chewy Inc closed at $25.44 on Monday, down 6.61% for the day. In after-hours trading, the stock decreased further 0.47%. Year to date, Chewy has shown a gain of 13.83%.
Meanwhile, GameStop Corp closed at $23.33 on the same day, experiencing a 5.51% decrease for the day. After hours, the stock price slightly declined to $23.28, down 0.22%. Year to date, GameStop has seen a significant increase of 39.95%, according to data from Benzinga Pro.
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This story was generated using Benzinga Neuro and edited by Kaustubh Bagalkote
