Monday was not a good day for investors. The major U.S. indexes all dumped around 2% of their value on concerns that China’s massive Evergrande real estate developer will default on its next interest payments, that the U.S. Congress will continue to squabble over an infrastructure bill, and, of course, the political posturing over raising the federal debt ceiling. The good news is that equities futures were up about 0.75% Tuesday morning.
Meme stocks did not dodge Monday’s overall market downturn, with a couple of exceptions. IronNet Inc. (NYSE: IRNT) added more than 10% on Monday to bring its post-IPO gains to around 236% in less than a month. The company had no news Monday, but IronNet was Reddit’s most talked-about company on Monday and continued to be on Tuesday. Shares traded down about 1.6% in Tuesday’s premarket at $32.80. Nearly 12.8 million shares of IronNet were traded on Monday, nearly four times the stock’s daily average.
The second-most discussed security on Monday was the Direxion Daily FTSE China Bear 3X Shares (NYSEARCA: YANG). The triple-leveraged fund added nearly 12% Monday as some investors seem to want to make a big bet that Evergrande is going to torch Chinese stocks. Nearly 4.6 million shares changed hands on Monday, more than five times the daily average of around 850,000. Shares traded down less than 1% in Tuesday’s premarket session.
Shares of TMC the metals company Inc. (NASDAQ: TMC) dropped by about 14.3% on Monday but regained about 4% in Tuesday’s premarket trading. The company had no news Monday but did generate a fair amount of chatter on social media, most of it related to short interest in the stock. This one might bear watching once regular trading begins.
Meta Materials Inc. (NASDAQ: MMAT) closed down more than 4.5% on Monday to $4.94. The stock added nearly 2% in Tuesday’s premarket. If the stock closes above $5 Tuesday, the share price will have added nearly $2 over the past month. That’s a gain of more than 50%. The company announced two new executive appointments on Monday. One, Dr. Shann Kerner, comes from corporate law firm Lathrop GPM, where she specialized in intellectual property law. In addition to a law degree, Kerner also has a Ph.D. in medicine. Kerner will be Meta’s chief intellectual property officer.
The second appointment, Cindy Roberts, rejoins Meta, where she was the company’s vice president of marketing and communications from 2015 to 2020. She has been appointed Executive Vice President of Corporate Affairs & Chief of Staff.
Meta’s CFO, Ken Rice, commented that now that the company is listed on Nasdaq, it is “in a position to accelerate the development of our medical assets as well as to pursue additional strategic opportunities.”